The export of South African coal to China should continue while China decides not to buy Australian coal, Glencore CEO Ivan Glasenberg said during this week’s Glencore media conference. “China still imports round about 185-million tons to 190-million tons of seaborne coal. They like to import the better quality coals, and therefore to substitute the Australian better quality coal. Indonesia and Russia do supply them, but they need other sources of supply once Australia is out of the market,” Glasenberg said in response to Mining Weekly. “South Africa has picked up a good portion of the Australian coal that went into China. We’re shipping round about two to three Capes a month into China and hopefully that will continue while the spat continues between China and Australia. “Naturally those tons that we now move to China means less tons for India, which means Australia will be supplying those tons that went to China to India. So, the trade routes are changing somewhat and naturally that puts pressure on the freight rates, but someone in the end has to absorb that extra freight rate. I think that will continue for as long as the battle exists between Australia and China,” said Glasenberg
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