The majority of coal prices strengthened on Monday (Feb 16, 2026). This uptick was supported by industrial restructuring in China, energy policy support from President Donald Trump in the U.S., and supply disruptions in Russia and Indonesia that triggered global market concerns.Newcastle coal prices for February 2026 fell 0.45% to USD 116.25 per ton. Meanwhile, March 2026 prices rose by USD 0.2 to USD 120.1 per ton, and April 2026 increased by USD 0.05 to USD 120.1 per ton.On the other hand, Rotterdam coal prices for February 2026 surged by USD 0.5 to USD 105.35. March 2026 prices strengthened by USD 0.3 to USD 107.35, while April 2026 rose by USD 0.3 to USD 106.5 per ton.According to Trading Economics, this increase was triggered by restructuring steps in China’s coal sector as well as energy policy support from President Donald Trump in the United States (U.S.).The price reinforcement occurred after regulators approved a major acquisition plan by China Shenhua Energy Co worth approximately USD 19 billion from its parent company, China Energy Investment Corp.The acquired assets include coal-to-chemical projects, mines, power plants, and logistics networks. This move will strengthen vertical integration and improve supply chain efficiency, while simultaneously boosting Shenhua’s coal production capacity to 512 million tons per year.The restructuring is seen as part of China’s efforts to streamline its coal industry amidst indications that domestic consumption is beginning to peak. This consolidation also strengthens the position of major companies in maintaining supply stability and cost efficiency.In the United States, the government is taking steps to bolster the coal-based power plant sector, which had begun to face pressure. President Donald Trump has allocated USD 175 million in federal funds to upgrade six power facilities and has instructed the U.S. Department of Defense to purchase electricity from a larger number of coal plants.The combination of industrial restructuring in China and policy support in the U.S. has reinforced bullish sentiment in the global coal market. Market participants now view these moves as a signal that coal still plays a vital role in the global energy mix, despite the increasing pressure for a clean energy transition.Meanwhile, Energy News Beat reported that coal prices were driven up by Ukrainian drone strikes on a major Russian coal export hub on the Black Sea, as well as new supply constraints from Indonesia, the world’s largest thermal coal exporter.Russian Port Under AttackThe attack on the Port of Taman, which handles over 1 million tons of coal per month, sparked concerns over short-term Russian export disruptions, thereby increasing volatility in an already stressed global market.The Port of Taman, located in Russia’s Krasnodar region, was attacked over the weekend, causing damage to oil storage tanks, warehouses, and terminals in the nearby village of Volna.The fire lasted until Sunday and injured two people, though authorities reported it was extinguished by Monday. In addition to transporting oil and grain, this port plays a crucial role in Russian coal exports to Europe and other regions.This geopolitical tension arrives amidst broader pressure in the global coal market, including projections of a 5% decline in global seaborne coal trade to 1.47 billion tons by 2025. This decline would mark the first consecutive contraction in more than two decades.Nevertheless, supply disruptions like these emphasize that coal still acts as a critical transition energy source amidst energy security concerns.coal remains a primary pillar of the global energy mix, accounting for approximately 35% of world electricity production despite decarbonization efforts. Seaborne coal trade reached a record 1.54 billion tons in 2024 but is expected to decline as demand weakens in major Asian markets.Asia absorbs about 60% of global coal imports, with China and India accounting for nearly half of the thermal coal volume. Europe’s demand has shown a limited recovery due to low renewable energy production, but overall global trade tends to decline as importing countries increase their domestic production.
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