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China’s coking coal imports rose 12-fold this year, boosting sales of BHP Billiton Ltd. as the government closed smaller, unsafe mines. Prices may jump by between 23 percent and 38 percent in 2010, as global demand rebounds from the deepest recession since the 1930s, according to Macquarie Securities Group, JPMorgan Chase & Co. and Morgan Stanley. “China doesn’t have enough domestic supply to meet increasing demand from its steelmakers,” said Zhang Bochun, secretary general of the Hebei Coking & Chemical Industry Association. Mills would “compete with foreign rivals,” he said in an interview. Chinese imports in 2010 may be similar to this year, Zhang said. Hebei province buys the most coking coal in China, according to industry researcher Mysteel.com. The nation’s $586 billion stimulus spending is spurring automakers and property developers to buy more steel, leading Baoshan Iron & Steel Co. and Chinese mills to expand coal consumption to
China’s Coking Coal Shortage to Spur Demand Fight (Update1) Dec. 18 (Bloomberg) — China, the world’s largest steelmaker, faces a shortage of coking coal that may drive imports next year and spur a fight for resources with Japanese and South Korean mills, two Chinese industry groups said. “Domestic demand for coking coal will rise moderately next year, while global demand may gain faster, intensifying competition,” Wu Chenghou, senior adviser of the China Coal Transportation and Distribution Association, said in an interview. China’s coking coal imports rose 12-fold this year, boosting sales of BHP Billiton Ltd. as the government closed smaller, unsafe mines. Prices may jump by between 23 percent and 38 percent in 2010, as global demand rebounds from the deepest recession since the 1930s, according to Macquarie Securities Group, JPMorgan Chase & Co. and Morgan Stanley. “China doesn’t have enough domestic supply to meet increasing demand from its steelmakers,” said Zhang Bochun, secreta
