China Coal Industry Association and the China Coal Transportation and Marketing Association recently released data show that in March, the national coal market sentiment index is -27.6, down 8.3 points more than in February, reflecting the coal market is still cool, and the intensifying. 

From the basis of indicators, by multiple factors, economic fundamentals efforts to pull coal demand is lower than expected in the first quarter of domestic infrastructure construction and real estate new construction conditions are less than ideal circumstances. March marks the pre-flood water to clear the reservoir of water and electricity in a high incidence of hydroelectric capacity year-on-year increase of 23.6%, thermal power generation is still slow growth. In March, the demand for coal grew 0.75%, down 2.8 percentage points than 2 months before the monthly average increase significantly below normal levels, demand for coal partial differentiation index than in February, down by 4.5 points, fell to -14.7. 

In March, the domestic coal production fell 1.7%, but the sharp rise in imports, an increase of 22.2%. Month coal supply increment greater than the rise in consumption of the whole society coal stocks continued to increase, resulting in a balance between supply and demand index down 0.3 points more than in February, fell to -13.2 in a relaxed state, the coal supply and demand in general. In March, the domestic market price of coal prices have been stable and downs, thermal coal prices are generally lower than per tonne in late February 5 yuan, the localized individual species decreased by 20 yuan per ton. Partial differentiation index of coal prices in March to -11.8, the chain fell 4.5 points. 

Fundamentals from the economic point of view, since the beginning of April, the start of infrastructure projects around the acceleration, but the impact of the housing market is expected to increase in uncertainties, new housing construction may still be in the doldrums, the economic fundamentals driven by the intensity of the demand for coal will continue to too small. From climate factors, according to notify relevant authorities in April runoff better, hydropower output in the central region increased significantly, water and electricity coal-fired replacement will remain very obvious, will also enter a state of high wind power. Changes in the structure of power may be to some extent affected the growth of the demand for coal. According to the preliminary judging, April coal demand will remain low, partial differentiation index of coal demand will be slightly lower. 

From the supply side, April local coal mines will continue to resume production. It is understood that in Shanxi Province this year there will be 100 million tons annual production capacity of release; Meanwhile, the international coal market overall oversupply of coal imports will remain at a high level. Forecast the April coal supply is greater than demand likely will continue to fall, the coal supply and demand balance index. Recent the Bohai thermal coal price index continued to show a slight downward trend. In early April, a new round of domestic coking coal prices down individual steel mills requiring mines to lower the price of coking coal.