China Studies Ending Australia Coal Ban on Supply Fear
Chinese bureaucrats studying the energy outlook are proposing to end a near two-year ban on Australian coal as tensions begin to ease and on concerns supply may tighten when Western-led sanctions on Russian energy kick in. The proposal will be submitted to senior leaders, with a recommendation Beijing should resume Australian imports, according to people familiar with the plan. That’s been prompted by fears European-led curbs on Russian energy will increase competition for coal from China’s main suppliers such as Indonesia.
Officials are looking to boost fuel supplies to avoid a repeat of last year’s power disruptions — particularly ahead of a key party congress — said the people, who requested anonymity to discuss a private matter.
The plan will be handed to leaders who are in a position to authorize any change in policy to make a final decision, the people said. Though it remains uncertain whether a decision will ultimately be made to lift the ban, some companies are already preparing to resume imports, according to two other people. Australia has an opportunity to “build up positive energy, and create favorable conditions for sound and steady development between China-Australia trade relations,” Chinese Foreign Ministry spokesman Wang Wenbin said Thursday at a regular briefing in Beijing, when asked about the prospect of ending the ban.
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