Global coal production to grow by a marginal 0.9% in 2022

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The global coal reserve volume was 1,074.1 billion tonnes (Bnt) in 2020. Coal production is expected to remain flat at a CAGR of more than 1% during the forecast period. The long-term transition towards renewable energy is expected to have a significant impact on global coal production. In

In 2022, coal mine output from India, China, and South Africa is expected to increase by a meager 0.9 percent, reaching 8,126 million tons. These nations' combined production is anticipated to rise by 7.8% from 5.1 billion tonnes (Bnt) in 2021 to 5.5 billion tonnes (Bnt) in 2022. In contrast, output from Russia and Ukraine is expected to decrease by 18% and 50.5%, respectively, in 2022 due to the ongoing war between Russia and Ukraine.

Global Coal Mining Market rebounded strongly by 6% in 2021, reaching 8,056.9Mt, owing to the recovery that followed the pandemic. Of the all out coal yield in 2021, 87.3% was assessed to be warm coal, and 12.7% was coking coal. China, India, Indonesia, the United States, and Russia were the top five countries that made the most contribution to global growth in 2021, supported by government policies that increased domestic output. In contrast, production decreased in South Africa, Ukraine, and South Korea during the same time period. Weather-related events like tropical storm Ana and heavy rains disrupted coal mine operations in South Africa.

Overall, global coal production will be negatively impacted by the long-term shift toward renewable energy, despite the fact that short-term energy supply issues are increasing demand for coal. Global coal production is anticipated to grow at a compound annual growth rate (CAGR) of 1.3% from 2022 to 2026, reaching 8.6 Bnt in 2026. As a global effort to phase out coal and cut emissions from the power sector, a climate change summit known as COP26 was held in Glasgow in November 2021. There, forty nations pledged to stop issuing permits and providing direct government support for new coal-fired power stations. However, the majority of the world's largest coal-producing nations decided not to sign the agreement. The United States is expected to reduce its coal production in the upcoming years, despite disagreements regarding the phasing out of coal among China, India, Russia, and Australia. India, on the other hand, will play a significant role in the expansion. The country expects to increase its coal production from 810.9 Mt in 2021 to 1.2 Bnt in 2026 in an effort to reduce its dependence on imported coal.

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