Chinese customs have reportedly placed an indefinite ban on all coal imports from Australia. The country's biggest port, the port of Dalian, has reportedly placed a restriction on coal shipments coming from Australia. According to a representative of the Dalian Port Group, the operator of the port of Dalian, overall coal imports have now been capped at 12 million tons for the year. The limit includes all shipments from all import sources.
While it was mentioned that the max limit was applicable to all import sources, the port of Dalian has reportedly barred Australian coal imports from entering since the start of February. Dalian port officials reportedly didn't allow Australian coal shipments to clear through customs, while shipments from other countries, such as Indonesia and Russia, were allowed to pass. Dalian customs currently oversees five ports in the region, including Bayuquan, Beiliang, Dandong, and Panjin.
Australia is currently the world's biggest exporter of Coal and Anthracite, a high-quality and high-carbon-content type of coal. China is one of the country's biggest customers, buying out nearly 30 percent of all the coal Australian sends abroad. Australia also exports several other mineral s to China on a regular basis, including gold and iron ore.
According to China's foreign ministry, the port's customs officials were merely doing their jobs and checking all coal imports for proper safety and quality. They apparently didn't allow any shipments to pass through if it did not meet their strict standards. While it wasn't directly mentioned, the imposed ban on Australian coal may have something to do with the recent rise in tension between the two nations.
Relations between the two countries initially started crumbling when Australia accused China of meddling with its political and domestic affairs. Australia even passed foreign policy laws that barred China from interfering with its politics, media, and local affairs. The relationship deteriorated further when Australia canceled the residency visa of a Chinese businessman just this month. This was then compounded by Australia's refusal to have Huawei Technologies bring their 5G technology to the country.
The Australian government has responded to the ban and mentioned that it was already communicating with its ambassador to China to clarify the issue. The country also expressed its dismay and mentioned that it is hoping China would honor its standing free trade agreement. Tania Constable, the CEO of Mineral Council of Australia mentioned in an interview that the ban would have a significant impact on the country's coal industry and that it would only worsen if the ban is not lifted soon.
