Vietnamese importers warned of 34 suspended Indonesian coal exporters

An open-pit coal mine in Binungan, East Kalimantan, Indonesia. (Photo: thejakartapost.com)

Hanoi (VNA) – The Trade Office of Vietnam inIndonesia has advised Vietnamese importers to not trade with 34 Indonesianmining companies whose coal exports have been suspended by the local governmentfor failing to meet domestic market obligations.

Accordingly, Indonesia has introduced sanctions forproducers that fail to meet their domestic market sales obligations, with 34companies temporarily banned from exporting coal because of unfulfilled supplyagreements with state-run power utility PT PLN between January 1 and July 31this year.

Starting on August 7, the ban will be in effect untilthese companies fulfill their supply obligations.

The Trade Office of Vietnam in Indonesia has provided the Ministry of Trade and Industry with the list of the 34 firms, saying that Vietnamese coal importers should not sign new contractswith them until the ban is lifted.

Customs data shows that Vietnam’s coal imports fromIndonesia slid 9.3 percent to 9.66 million tonnes in the first seven months of2021. The import value, meanwhile, surged 42.6 percent to exceed 732.8 millionUSD as global coal prices was soaring on the back of sharply increasing demandfrom China and several North Asian countries./.

VNA