Russia’s coal exports to Europe decreased in the last five years, ending 2024 calendar year (CY), which was offset by diverting the cargoes to Asia, particularly China, India and South Korea, said the US Energy Information Administration (EIA).
While Russian cargoes of the dry fuel to Europe decline by more than half between 2020 and 2024, shipments to India more than doubled. China alone accounted for more than half of Russia’s cumulative coal exports last year.
The shift away from European markets corresponds with EU sanctions that went into full effect in August 2022 and increased coal exports from the US to Europe.
However, India also imported higher quantities of thermal coal, which is primarily consumed in thermal power plants (TPPs), from the US during the same period, the data from the US EIA also show.
Russian cargoes
Russia offset the decreased coal exports to European markets by increasing coal exports to Asia, mainly to China, India and South Korea, the US EIA pointed out.
China has been Russia’s primary recipient of coal exports since 2020, and slightly more than half of Russia’s total coal exports in 2024 went to China, it added.
“Russia’s exports to India have also increased in recent years, from about 8.3 million tonne (mt) in 2020 to about 22.5 mt in 2024. India has been increasing its total coal imports since 2021, largely to meet growing electric power demand,” it said. One short tonne equals 0.9071847 metric tonne.
During FY25, India imported a total of 243.62 mmt of coal provisionally, compared to 264.53 mmt in FY24, Indian government data show.
US pivot
India’s thermal coal purchases from the US have also risen in the last five years. For instance, India imported 14.38 mmt and 13.25 mmt coal from the US in 2023 and 2024, respectively. This is the highest in more than a decade.
Besides, India’s coal imports from the US have averaged at 10.60 mmt during 2020-2024 CY compared to an average procurement of 6 mmt during 2015-2019 CY.
The US EIA in a September 2024 report said that thermal coal exports by the US to Asia and Africa surged in H1 2024, helping to drive overall US coal exports (thermal and metallurgical) to 48 mmt from 44.5 mmt in H1 2023 (CY).
Exports of thermal coal from the US to Asia rose by 19 per cent, or roughly 2 mmt, in H1 2024 compared to H1 2023. The increase was driven mainly by greater deliveries to India and China.
India accounted for 57 per cent of these exports to Asia in 2023 and continued to receive large amounts of US thermal coal in H1 2024, led by industrial customers in the brick making sector, it had said.
