After a decade long absence the Chinese government recently said that imported coal will be subject to 3-6% tax depending on type from 15 October.
Morgan Stanley analysts Wee-Kiat Tan and Sara Chan believe the new import tax for coal could worsen the oversupply situation in the regional seaborne coal market
“We believe this new tax will not affect coal import volumes from Indonesia, given existing Free Trade Agreements (FTA) between China and ASEAN.”
However,
