China produced 1.765 billion tons of coal in the first 10 months of this year, an increase of 132 million tons from the same period of last year.

Based on this figure, China's annual coal output in 2006 is expected to be greater than 2.3 billion tons. Pu Hongjiu, the first Vice President of China's National Coal Association, advised that supply and demand for coal are basically in balance this year, but estimated that next year there would be a surplus.

At the China Coal Industry meeting in Beijing, Pu Hongjiu said that based on consumer trends, the demand for coal will drop a little next year, resulting in a surplus. This year much has been done to resolve electricity shortages across the country. He added that demand for coal will continue to increase, but this will happen more slowly than expected, resulting in a coal surplus.

By People's Daily Online