Coal companies face big losses fell nearly 7-year low coal prices

On July 24-25 meeting of the Northeast Asia Coal Trade Fair, president of the China Coal Industry Association, said Wang Xianzheng from the first half of this year to see the economic operation of coal coal oversupply of coal in the short term is difficult to change there is further exacerbated by the economic downturn trend. Research shows there is a loss of surface coal enterprises has exceeded 70%. There are more than 50% of enterprises have been cut hair, arrears, delayed wages phenomenon. Since entering July with Shenhua coal repeatedly lowered the price of coal has fallen nearly 7 years minimum.

Problems of the coal market is not one or two days to solve the problem of loss of coal production enterprises need to make a fuss from the cost savings. Logistics costs account for long-distance transport costs by up to 60% of coal to solve the problem of coal enterprises can greatly improve profits. If we can build a national coal market transportation costs may become uncontrollable. Also relevant authorities should take measures to control the total coal production to clean up coal import and export unreasonable charges specification implement policies such as the gradual resolution of conflicts and problems.