More low-grade coal to be imported for industrial production

The annual demand would increase to 70-75 million tons during the period when the construction material, chemical and some other industries recover from the Covid-induced slump, it said.

Total demand for coal, both domestically mined and imported, in a year will rise from over 108.4 million tons in 2022 to nearly 115 million tons by 2025 and 150.5 million tons by 2040, with electricity generation and fertilizer, cement and metal production accounting for 90-94%.

In the next five years domestic production would meet 40-45% of total demand, TKV said, adding it would increase annual output by over 1.3 million tons.

The company imports tens of millions of tons a year but also exports nearly two million tons of high-grade, high-value coal Vietnam has little demand for. It produces 2-2.1 million tons of such coal annually.

One ton of high-grade coal for export, including lump coal, is equivalent to 2-2.5 tons of low-grade coal for electricity production.