Insight
Is China’s rail freight rate cut for coal working?
Report summary
China wants more coal to be carried by rail rather than road transport, to help reduce pollution. However, year-to-date coal freight in 2019 has fallen short of the government’s expectation. As such, freight rates have been cut on China’s coal-dedicated railway lines to alleviate cost pressure and encourage more coal to be transported by rail. Wood Mackenzie recently visited several railway stations in key coal-producing regions to find out: Why coal producers and traders have less enthusiasm to transport coal to Bohai Rim ports. The impact of the recent freight rate cuts.
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