Coal prices climbed above $115 per ton in mid-February, approaching their highest level in a year, as expectations of resilient demand offset the longer-term global shift toward cleaner energy sources.

China, the world’s largest coal producer and consumer, commissioned 78 GW of new coal-fired power capacity in 2025, marking the highest annual addition in a decade.

The expansion underscores Beijing’s emphasis on energy security and grid stability during peak demand periods, even as non-fossil fuel generation capacity surpassed fossil fuel-based capacity for the first time.

China retains the world’s largest coal power fleet and accounts for roughly 71% of global coal capacity currently under development.

In the US, President Donald Trump has taken steps to support the struggling coal-fired power sector, allocating $175 million in federal funding to modernize six plants and directing the United States Department of Defense to procure electricity from additional facilities.
Source: Trading Economics