China's domestic thermal coal market was trapped in a stalemate on April 17. Thin trading activity and lingering buyer caution continued to weigh on mine-mouth offers, yet steady shipments and a firm portside market kept the downside in check.

Of the 90 coal mines surveyed by Sxcoal on April 17, two mines raised prices by an average of 15.5 yuan/t, while six mines lowered prices by 9 yuan/t on average. The remaining 82 kept prices stable.

Mine offtakes were dominated by routine purchases. Power plants mostly focused on fulfilling long-term contracts, and industrial users, notably chemical plants, only bought as needed. Traders and washing plants stayed firmly on the fence. Disptaches from mines in China's key production regions were generally modest, compounded by growing wait-and-see sentiment.

Muted end-user demand, combined with a leading miner's downward adjustments, pressed down thermal coal offers by 5-10 yuan/t in Inner Mongolia. An Ordos-based miner lowered prices for washed 5,600 Kcal/kg NAR slack coal (S 0.29%) by 6 yuan/t to 564 yuan/t, ex-washplant with VAT. Zhunger-sourced 5,800 Kcal/kg NAR raw coal (S 0.2%) also dropped by 5 yuan/t to 570 yuan/t, mine-mouth with VAT.

Some mines facing interior quality of newly mined coal also had to slash offers, with a miner in Shaanxi's Yulin cutting 6,000 Kcal/kg NAR slack coal (S 0.3%) by 30 yuan/t to 570 yuan/t, mine-mouth with VAT. Nevertheless, a local source reported improved offtakes post-corrections.

The downward pressure proved selective. Many producers remained reluctant to decrease prices, underpinned by steady offtakes and a relatively optimistic outlook for the weeks ahead.

With firm industrial demand during the "Silver April" acting as a floor, any retreat will be contained. Meanwhile, upticks in coal consumption at coastal power plants are expected to cap further reductions.

A subtropical high-pressure system backed certain southern regions well above seasonal temperature norms. Coal consumption at several coastal power plants exceeded expectations. Daily coal burns at plants under six major coastal groups reached 743,300 tonnes on April 16 after five consecutive days of rise, Sxcoal data showed.

Their coal stocks, however, fell below the corresponding levels of both 2024 and 2025, hitting 12.65 million tonnes, with days of cover also lower than the year-ago level. The faster fuel consumption spurred certain fresh inquiries from utilities.

Moreover, the rising probability of an El Nino event is expected to bolster thermal power demand during the upcoming summer peak, potentially pulling forward generators' restocking efforts.

In Shanxi's Shuozhou, washed coal prices hovered high, with 5,500 Kcal/kg NAR grades reaching 560-570 yuan/t. "Producers are unwilling to sell at lower levels in anticipation of future price rallies," a local source confirmed.

Auction settlements in Shaanxi's Yulin also experienced modest upticks. A major miner put raw 4,400 Kcal/kg NAR slack coal (S 2.3%) for auction at 430 yuan/t, mine-mouth with VAT, up 20 yuan/t from the last auction.

At the same time, output at several mines in the region declined, lending support to higher prices in online auctions. "Some mines have halved output due to grid maintenance. Our production was cut from the original 40,000 tonnes per day to the current 20,000 tonnes," a major miner told Sxcoal.

On April 17, Sxcoal assessed Datong 5,500 Kcal/kg NAR coal at 620 yuan/t, mine-mouth with VAT, up 5 yuan/t on the day, while Ordos 5,500 Kcal/kg NAR material remained unchanged at 548 yuan/t. Yulin 5,800 Kcal/kg NAR grade kept flat at 614 yuan/t.