China’s improving hydro power generation spells bad news for coal imports, says SSY

The dry bulk market faces potentially fewer shipments of coal to China for the remainder of 2024 after significant improvements in the country’s hydropower generation, according to SSY.

Severe drought conditions in central and coastal China during the first half of 2023 curtailed Chinese hydro generation last spring and contributed to the sharp increase in thermal coal imports into Southeast China, the broker said.