Xinhuan cited Mr Zhang Guobao GD of National Energy Administration as saying that stimulus plan of boosting demand and economy at home will take effects in 2009, so demand for coal is expected to maintain uptrend but the growth may slow down.
Mr Guobao at a meeting of gas prevention and controlling in Coal Mine said that international protracted financial mass has sharply worsened global economy which also has a deep negative impact on China"s power, steelmaking, building steel and chemical industries, so coal demand would decline in the short term.
Its price declined MoM from last April. Present price of thermal coal at Qinhuangdao Port has kicked off over CNY 400 per tonnes from the peak in the middle of 2008, and coking coal dived as high as 50% or CNY 1000 per tonnes.
Current coal stock continues to rise and payment is defaulted seriously to miners while coal steam electric plants receive an entire loss in the whole industry.