Indonesia's coal industry is facing pressure as demand for key markets such as China and India has dropped dramatically. Exports to the two countries fell by around twelve to fourteen percent during the first five months of 2025 due to rising domestic production and a shift to high heating value coal from suppliers such as Mongolia and South Africa. National exporters are now actively pursuing alternative markets such as Vietnam, the Philippines, Pakistan, Bangladesh, Malaysia, South Korea, and Brunei-with combined demand reportedly reaching around 108 million tons in the first quarter of 2025, while exports to ASEAN grew 15 percent over the same period last year.

However, entrepreneurs have encountered major challenges-particularly from geographical competition with countries such as Russia and Colombia that offer more efficient delivery and lower prices. Many companies are focused on maintaining long-term contracts as opportunities in the spot market are increasingly limited, and emphasize operational efficiency as the key to survival. Globally, the downward trend in Indonesian coal exports could trigger the first annual downturn since 2020, and Asian thermal coal prices are at a four-year low. The government and industry players are also emphasized to strengthen market diversification and efficiency strategies in order to cope with this change in global demand.

source:
https://insight.kontan.co.id/news/menjajaki-pasar-ekspor-batubara-selain-china