Southeast Asia's thermal coal imports are expected to rise 29% to 128 million mt in 2020 from realized imports of 99 million mt in 2019, according to S&P Global Platts Analytics. Imports to Vietnam are expected to comprise 55 million mt of the total, up 22% from 45 million mt in 2019, and increase further to 55.2 million mt in 2021, it added.
Vietnam received 45% of Southeast Asia's thermal coal imports in 2019 and with more coal-fired power plant projects in the pipeline, its low domestic coal production will continue to make it reliant on imports, predominately from Indonesia and Australia, market sources said.
"Power demand in Vietnam in September at nearly 30 GW was up over 7% from a year ago. Platts Analytics expects a continued recovery in coal-fired power generation in Vietnam, as well as Southeast Asia, but we do not expect a full recovery in the region until the second half of 2021," said Matthew Boyle, lead coal analyst from Platts Analytics.
Vietnam's seaborne thermal coal traders are optimistic the country's fossil fuel consumption will continue to rise through 2021 amid burgeoning demand for electricity production at the lowest cost, de
www.spglobal.com