Global Coal Prices Jump Above $150 a Ton as China, Indonesia Disrupt Supply
Updated
Updated · Reuters · Jun 16
Global Coal Prices Jump Above $150 a Ton as China, Indonesia Disrupt Supply
1 articles · Updated · Reuters · Jun 16
Summary
Newcastle coal has climbed to near two-year highs above $150 a metric ton as a China mine disaster, Indonesian export-policy upheaval and war-driven LNG shortages tighten seaborne supply.
Shanxi safety inspections after last month's fatal blast are squeezing Chinese output, with June thermal coal imports seen rising 27.6% year on year to 27.8 million tons.
Indonesia has added to the squeeze by moving coal exports toward state control under Danantara; thermal coal production fell 7% in January-April and exports could drop 11% this year to 446 million tons.
The LNG crunch from the Iran war is pushing Japan and South Korea toward high-grade coal, and Rystad estimates it could add 70 million tons of Asia-Pacific coal demand in 2026.
Supply risks extend beyond China and Indonesia: Argus sees global coal supply down 5.7% to 985 million tons in 2026, while El Nino, Russian losses and Australian cost pressures threaten further tightening.
As the LNG supply crunch extends, will Asia's return to coal become a permanent setback for global climate goals?
Beyond Hormuz, which global energy chokepoint is most at risk of triggering the next supply crisis?
Is China's dual reliance on domestic coal and renewables creating a decisive economic advantage in this global energy crisis?
Coal at $150/ton: 2026’s Energy Crisis, Indonesia’s Export Shakeup, and the Global Race for Security
Overview
As of June 15, 2026, the global thermal coal market is experiencing a sharp price surge, with the Newcastle benchmark price climbing above $150 per ton—its highest since the 2022 energy crisis. This spike is driven by a mix of geopolitical tensions, especially the ongoing U.S.-Israeli war on Iran, which has severely disrupted Gulf gas infrastructure. These disruptions have led to supply constraints and an anticipated rise in coal demand, creating a robust outlook for the summer. The combination of these factors is tightening the market and pushing prices to new peaks.