IEA predicts major drop in global coal output after record highs
Global coal production is set to decline after reaching unprecedented levels, according to the International Energy Agency’s latest report. The surge in output was mainly driven by countries like China, India, and Indonesia, where coal remains crucial for energy security. The report highlights recent trends and forecasts a significant reduction in coal production in the coming years. The shift reflects changing market dynamics, cooling demand, and a global move toward cleaner energy sources.
What we know
- The IEA’s report states that global coal production hit a record high of 9.1 billion tonnes in 2024, with China alone producing 4,666 million tonnes to stabilize its power grid.
- The agency forecasts that 2025 will be the “high-water mark” for the industry, with production plateauing at 9,111 million tonnes before a projected decline.
- By 2030, global coal output is expected to drop by approximately 500 million tonnes from current levels, led by reductions in China, the European Union, and the United States.
- The United States saw an increase in output to 473 million tonnes, but this is seen as temporary due to upcoming phase-out schedules and cost pressures.
- While India is expected to remain a key source of incremental growth, it will not offset the overall global decline in coal production.
