Daily Management Review

South Korea to increase coal imports from Australia


South Korea will raise coal imports from Australia by one-and-a-half times to lessen reliance on Russian coal, which is becoming more expensive due to the Ukraine conflict, according to the Republic of Korea's administration.

South Korea has decided to diversify its coal import channels and enhance cement production in the face of fluctuating bituminous coal supply as a result of the Ukraine crisis, while domestic demand for the fuel is rising.

At a government meeting, Deputy Prime Minister and Minister of Economy and Finance Hong Nam-ki stated that South Korea will continue to seek for greater bituminous coal imports from Australia in order to lessen its reliance on Russia.

"Recently, the price of bituminous coal has dramatically risen since the beginning of the year, causing the price of cement and other critical building materials to surge and supply instability," Hong Nam-ki stated.

As a result, the government has opted to diversify its coal procurement chain, including raising Australian coal's share of imports by one-and-a-half times. It also claims to shorten the time it takes to clear customs. Cement and construction materials will also be monitored.

source: reuters.com