2026.03.1706:27:22UTC+00Coal Holds Near 16-Month High

Coal prices remained above $130 per ton, trading near their highest levels since November 2024, after Indonesia announced plans to prioritize domestic supply against the backdrop of war in the Middle East that has pushed prices higher. President Prabowo Subianto’s administration has indicated it will introduce regulations to ensure the country’s rapidly expanding industrial sector has access to cheaper coal before any surplus is exported. Indonesia is the world’s largest exporter of coal used for power generation, supplying roughly 50% of global seaborne volumes. A prolonged disruption to oil and gas shipments through the Strait of Hormuz could prompt power producers in major economies to lean more heavily on coal for electricity. Although coal is the most carbon-intensive fossil fuel, and environmental groups, financial institutions, and governments are working to reduce its use, demand has remained robust. Global thermal coal consumption has risen in each of the past two years, according to the IEA, driven particularly by growth in India and Southeast Asia.