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China state planner sets out irregular price-pushing behaviours for coal -Breaking


© Reuters. FILEPHOTO – Low-grade coal dune can be seen in Ruzhou province of China on November 4, 2021. REUTERS/Aly Song

BEIJING, (Reuters) – China’s State Planner warned traders and producers of domestic thermal coal not to accumulate stock or use other techniques that could push up the prices.

The National Development and Reform Commission (NDRC), added that industry players shouldn’t fabricate information about supply and cost levels, as this could cause market heat-ups.

The NDRC stated that it had established what it considered price-pushing behaviors to keep market order.

China’s efforts to curb rising commodity prices have been met with a flurry of activity. They are now looking into the possibility of setting up a price index that would include products like iron ore, coal, and other metals.

The NDRC said that significant increases in coal prices are not allowed without a reason.

An “substantial Price Increase” is any increase in medium to long term coal sales prices that exceed the upper limit of government requirements or spot prices above 50%.

China declared on Thursday that all coal types would be exempted from tariffs for import between May 2023 and March 2023.