Indonesia's Coal Export: Reaching New Heights in the Coal Industry

Indonesia Export Data

04-Apr-2024

Indonesia's Coal Export: Reaching New Heights in the Coal Industry

Indonesia, famed for its plentiful natural resources, has made great progress in the coal business. According to Indonesia coal export data, Indonesia's thermal coal exports reached new highs in 2023, highlighting the country's rising dominance in the global coal market. This expansion has been fueled by a number of major factors, including Indonesia's critical role in the coal sector and its impact on the world economy. In this blog, we will discuss how Indonesia’s coal exports are reaching new heights. Along with this, we provide destinations of coal export from Indonesia, Indonesia coal export data and much more.

Rising Demand for Indonesia’s Coal

One of the key factors driving Indonesia's record-high coal exports is rising worldwide demand for coal, particularly in emerging economies. Many countries still rely heavily on coal for energy, particularly in the power generation industry. Indonesia, with its massive coal reserves, is well-positioned to supply this rising need, catapulting its coal exports to unprecedented levels.

The Indonesian government's emphasis on infrastructural development has also played an important role in increasing coal exports. Investments in ports, railways, and other transportation facilities have increased the efficiency of coal transportation from mines to ports, allowing Indonesia to export more coal to foreign markets.

Why is there an increased demand for coal?

Demand for coal is predicted to rise 1.4% in 2023, surpassing 8.5 billion metric tonnes for the first time, while usage in India is expected to increase by 8% and in China by 5% due to increased electricity demand and weak hydropower generation, according to the International Energy Agency.

However, the European Union and the United States are expected to reduce coal use by roughly 20% each by 2023, according to the report.

Coal consumption is not predicted to fall until 2026, when the significant growth of renewable capacity over the next three years could help reduce usage by 2.3% compared to 2023 levels, even in the absence of substantially stronger clean energy legislation.

However, the analysis forecasts that worldwide consumption will continue to be far above 8 billion metric tonnes in 2026. To meet the Paris Agreement's goals, the usage of unabated coal would need to be reduced substantially faster, it added.

Let’s explore how much coal export from Indonesia?

Indonesia's thermal coal exports hit new highs

Indonesia's thermal coal shipments ranked 413 million metric tonnes in the first ten months of 2023, confirming its position as the leading supplier of the high-emission power fuel.

Based on Indonesia coal export data, exports to India reached 13.5 million tonnes in February, the most for that time period since 2020. India imported 100.85 million tonnes of Indonesian coal in total in 2023, and thus far in 2024, Indonesian imports are running about 3.5% ahead of the 2023 pace.

For the first time, Indonesia accounted for more than 50% of worldwide thermal coal shipments from January to October, according to coal export from Indonesia statistics, highlighting its success in gaining market share from rival exporters.

Now, discuss the top coal exporting countries!

Top coal exporting countries

Here is the table for top coal exporters!

S.NoTop Coal Exporting CountriesExport Values (in%)
1Indonesia50.2
2Australia19.4
3Russia11
4South Africa5.9
5Colombia5.2
6United States3.3


Australia, the world's second-largest coal exporter, had a 19.4% share in the first ten months of 2023, down from 20% in 2022, while Russia, the third-largest exporter, had an 11% share, down from 12.3% in 2022.

South Africa and Colombia, the fourth and fifth largest exporters, both lost market share to Indonesia in 2023. The United States, the world's sixth-largest exporter, modestly increased its global share.

Coal Export from Indonesia: Major Export Destinations

As per Indonesia coal export data, Indonesia is the world's biggest coal exporter, with a record high of 508 million tonnes exported in 2023 . The primary destinations for Indonesian coal are:

  • China remains the largest importer of Indonesian coal, accounting for 215.7 million metric tons in 2023. This is owing to China's continued reliance on coal-fired power facilities.

  • India: India is another large coal consumer for electricity generation, importing 108.4 million tonnes from Indonesia in 2023,

These two countries account for more than 64% of Indonesia's coal exports. Other markets for Indonesian coal include Japan, South Korea, and Southeast Asian countries.

How to find Indonesia coal exports by country?

IndonesiaTradeData.com delivers a 100% original, reliable, and up-to-date trade report on coal Indonesia coal exports by country, coal export from Indonesia, as well as Indonesia coal export data. 

In addition, Indonesia's coal export data is gathered from Indonesia ports, customs, and other trusted and credible sources. The thermal coal Indonesia report is useful for analyzing export prices, quantities, market trends, and much more. Download free Indonesia coal export data samples for global reach. 

Conclusion

Coal export from Indonesia has reached new heights, driven by rising global demand, infrastructure development, and competitive pricing. While this growth presents opportunities for Indonesia's economy, it also poses challenges in terms of sustainability and environmental impact. Moving forward, Indonesia may need to balance its coal industry's growth with efforts to promote cleaner and more sustainable energy sources.

Do you want to learn more about how Indonesia Trade Data can help you trade abroad and grow your business? Speak with our global trade expert for the Indonesia market and take your business to new heights. Book your free live demo today!

Frequently Asked Questions(FAQ's)

1. Which countries import coal from Indonesia?

As per coal import data, China, India, South Korea, and the Philippines have been the leading markets for Indonesian coal this year, accounting for 33%, 15%, 5.8%, and 5.1% of total shipments, respectively. 

2. Why does Indonesia export coal?

Indonesia is the only exporter of low CV thermal coal with a value of 3,400 kcal/kg GAR to 4,200 kcal/kg GAR, with low ash and sulfur content, making it a popular choice among Asian importers.

3. How much coal does India import from Indonesia?

According to Indonesia export data,Indonesia coal import shipments to India totaled 2.9K, with 268 India Importers sourcing from 156 suppliers. India imports the majority of its Indonesia coal from Indonesia.

4. Who is the largest coal producer in Indonesia?

Delta Dunia became Indonesia's leading coal producer in 2022, accounting for approximately 12.6 percent of total production.

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