Mongolia's March coal exports hit historical high on robust Chinese demand

Bituminous coal (mainly coking coal for steelmaking) accounted for 90% of the March export total at 9.94 million tonnes. The shipments of anthracite, other coal (mainly thermal coal types) and lignite reached 58,789 tonnes, 517,013 tonnes and 544,278 tonnes respectively, according to the CGA data.

The record export high had resulted from robust demand from Chinese buyers, as the bullish Chinese coal market in March also delivered lucrative profits in Mongolian coal transactions and further bolstered their keenness to import, Mysteel Global observed. China was the sole importer of Mongolian coal in March.

For much of last month, the concerns about global energy supplies amid the US-Iran tensions had sent coal prices in China steadily rising, as reported. Mongolian coal is widely used among Chinese steel mills as an important supplement of domestic premium coking coal, with the result that last month the bullish market trend in China sent its prices surging.

At Ganqimaodu port, a major entry for Mongolian coal in North China's Inner Mongolia, the price for Mongolian 5# raw coal had topped Yuan 1,171/tonne ($171.2/t) on March 24, ex-stock with the 13% VAT.  Not only was this higher by Yuan 176/t from the end of February, but it was also the highest level since late October 2024, according to Mysteel's tracking.

High profits thereby encouraged Chinese importers to step up purchases of Mongolian coal, with the volume cleared by Chinese Customs at the three major Sino-Mongolia border ports – Ganqimaodu, Ceke and Mandula – averaging 362,676 tonnes/day last month. This more than doubled the March 2025 average of 163,604 t/d and was also about 58% higher than that of the full year 2025 average, according to Mysteel's tracking.

As such, the CGA data reported an 84% surge on year in Mongolia's March coal exports. Compared with February, the reading last month was also higher by 74%, as the border closures for holidays in both countries in mid-February disrupted transportation between them. Over February 17-20, China and Mongolia halted Customs clearance at the three border ports to celebrate their overlapping lunar new year holidays, as reported.

In the first quarter this year, Mongolia's cumulative exports of coal for all uses, all to China, totalled 27.53 million tonnes, jumping by 57% from Q1 last year, according to the CGA.

The acceleration of coal transport movements meant that cargo traffic at the three Sino-Mongolia ports also hit historical highs during Q1. Cargo flows at Ganqimaodu totalled 13.17 million tonnes during the period, up 50% on year, with those at Ceke and Mandula, also in Inner Mongolia, higher by 83% and 182% on year at 9.18 million tonnes and 3.45 million tonnes respectively, according to port authorities.

Written by Adrian Zhou, zhouwenhaoa@mysteel.com

Edited by Russ McCulloch, russ.mcculloch@mysteel.com