COFCO Futures: There has been a substantial contraction in the supply of coking coal recently.

COFCO Futures research report stated that recently, there has been a substantial contraction in the supply of coking coal. First of all, domestic production is limited. At the end of May and early June, there were four mining accidents in the main coking coal producing areas of Shanxi Province, with an increase in safety supervision, leading to a reduction in production in some large coking coal mines. Recently, the main producing areas have experienced frequent rainfall during the flood season, which has continuously constrained the production and transportation of some open-pit mines, affecting the production and transportation of coal and resulting in a slow recovery of supply. Secondly, the import volume has decreased compared to the previous month. Due to political fluctuations in Mongolia and severe losses of Mongolian coal traders in May and June, the customs clearance volume has been continuously declining, and the closure of Mongolian coal for the holiday from July 11th to 15th further affected the import volume.