Vietnam seeks to boost domestic coal production amid rising import prices


HANOI, May 16 (Reuters): Vietnam's state-owned coal miner Vinacomin will boost domestic production to meet rising demand for the fossil fuel amid surging global prices, the Ministry of Industry and Trade has announced.

The Southeast Asian country, a regional manufacturing powerhouse, earlier this year warned of electricity shortages due to tight coal supplies.

"Domestic demand for coal is at high levels, especially coal for power generation during the hot months of summer," Vinacomin Chief Executive Officer Dang Thanh Hai said in a statement.

Vinacomin, formally known as Vietnam National Coal-Mineral Industries Corp, produced 14.9 million tonnes of coal in the first four months of this year, up 10% from a year earlier, according to the statement. This accounted for 90% of the country's total coal output in the period.

The company targets producing 4 million tonnes in May, the ministry added.

Vietnam turned from a net coal exporter to a net importer nearly a decade ago and has been increasingly reliant on imported supplies for its power generation. Indonesia and Australia have been its key suppliers.

Vietnam plans to raise its annual coal imports to 46.5 million tonnes by 2025 and to 123.7 million tonnes by 2045 from 36 million tonnes last year, the ministry said last month.

Its coal imports in the January-April period fell 24.5% year-on-year to 9.4 million tonnes, but the value of those imports more than doubled to $2.39 billion due to rising prices, according to the government's customs data.

(Reporting by Khanh Vu; Editing by Kanupriya Kapoor)

Article type: free
User access status:
Join our Telegram channel to get our Evening Alerts and breaking news highlights

Vietnam , Vinacomin , Raise , Coal , Domestic Production

   

Next In Aseanplus News

Asean News Headlines at 9pm on Sunday (June 26, 2022)
Singapore foreign minister Vivian Balakrishnan meets Turkish counterpart; discusses expansion of food exports to island
Indonesia president support group Projo to back candidate who continues Jokowi's legacy
Thailand’s no mask mandate comes with conditions, warns ministry; 2,378 Covid-19 new cases on Sunday (June 26)
Philippines warns on sugar shortages in the country due to low output and import delays
Vietnam reports 557 new Covid-19 cases on Sunday (June 26); total now close to 10.75 million now
Nine people taken to hospital after crash involving taxi and two cars along Pan-Island Expressway towards Tuas in Singapore
Indonesia says Foxconn may invest in projects for its new RM150bil capital
Death toll in Bangkok blaze on Sunday (June 26) rises to two, witness describes horror event
One killed, one missing in Philippine ferry fire from the waters off the central island of Bohol

Others Also Read