China could face further power shortages this summer despite taking drastic measures to boost coal production, as much of the new supply is of lower quality than before and burns more quickly in power stations, traders and analysts have said.
The world's top coal consumer relies on coal for 60% of its electricity. Last year, lower domestic coal production led to a weekslong power crunch that hit manufacturing across the world's No. 2 economy.
Beijing has since ordered a ramp-up in coal output to record levels, and capped coal prices to ensure they are affordable for power generators.