Coal is a hot commodity in China

More than 60 per cent of Teck’s steelmaking coal is shipped to customers in Asia, and China accounts for roughly half of that

by Breanne Massey

After a brief hiatus in the demand for coal, the price of coal has surged.

The rising demand for coal could be linked to the use of steelmaking coal for expansion occurring in metropolitan cities—often in countries experiencing rapid economic growth.

“The rising demand for steel to build infrastructure—particularly in emerging economies like China and India—(is) a major driver of the demand for steel and steelmaking coal needed to make it," said Nic Milligan, manager of community and aboriginal affairs at Teck. 

More than 60 per cent of Teck’s steelmaking coal is shipped to customers in Asia. Milligan said the World Steel Association named China accountable for almost half of the steel production worldwide in 2011. Often, steel is utilized for building hospitals, bridges and railways, and Teck has been monitoring the demand carefully.

“The growth in demand for steel in emerging economies like China is one of the major drivers,” said Milligan. “China is expecting to see its urban population grow by approximately 350 million people over the next 15 years, which means building infrastructure to support almost two million new city dwellers every month. On top of that, the middle class in China and India is growing—driving new demand for consumer goods like cars and appliances, all (requiring) steel and steelmaking coal.”

Related articles

Aerial view of the Tent Mountain Mine
First Nations, Mines, Renewable Energy, Alberta, British Columbia Tent Mountain green energy plan: triple solution

The three-way green energy project is the result of great minds coming together against a challenging problem

by Timothy Fowler
Mortensen standing with shovel in forest.
Exploration, First Nations, Mines, Sustainability & environment, British Columbia Gold miner Mitch Mortensen is the perfect advocate for placer mining in B.C.

Placer mining in B.C. has no better advocate than gold miner Mitch Mortensen of Snowshoe Mountain Resources Corp.

by Virginia Rasch
Representatives from Sandvik Canada and Tahltan Nation Development Corporation (TNDC) following signing of the distribution agreement, which will see TNDC become a reseller of Sandvik Mining and Rock Solutions and Sandvik Rock Processing Solutions products to northwestern British Columbia and Yukon.
Mines, British Columbia, Yukon Tahltan Nation Development Corporation signs distribution agreement for Sandvik equipment

A new distribution agreement between the Tahltan Nation Development Corporation (TNDC) and Sandvik Canada will allow the reselling of Sandvik equipment

by Submitted
View all British Columbia articles