demand for metallurgical coal will increase steadily in 2013,
according to Sun Xuefeng, deputy general manager of
Beijing-based Sinosteel Raw Materials Co. Ltd.
However, import prices
wont keep increasing as they did from 2008 to 2011, he
told delegates Feb. 20 at the second Coaltrans Asia Coal
Trading Forum in Singapore.
But prices also wont see
another sharp decline similar to what was recorded last year,
Sun said. "I think prices will (remain) stable."
This pricing trend will
determine Chinas purchase of seaborne metallurgical coal.
China is known to be an arbitrage buyer, as the country also
has an abundant domestic supply of coal.
The main factor affecting the
metallurgical coal market in the first half of 2013 will be
politics as Xi Jinping, currently general secretary of the
Communist Party of China and chairman of the partys
Central Military Commission, takes over the reins as
Chinas president in March, according to Sun.
Sun expects the new government to announce fresh measures to
stimulate the countrys economy.
A version of this article was first
published by AMM sister publication Steel