Mongolian Coking Coal Imports Surge as China Tightens Domestic Supply in 2026 www.indexbox.io

Mongolian Coking Coal Imports Expected to Climb

According to industry analysts, China's purchases of Mongolian coking coal are projected to increase further in 2026, fueled by persistent cost benefits, structural blending needs, and a tightening of domestic supply following safety inspections. JinSong Tang, head of coking coal at JSL Global Commodities, stated in an interview that Mongolian material has become a key element in China's coking coal mix, especially for inland steel centers, with volumes anticipated to rise from the already high levels recorded in 2025.

Data from the China Iron & Steel Association shows that China imported 60.07 million metric tons of Mongolian coking coal in 2025, representing 51% of its total annual metallurgical coal imports. JinSong noted that import volumes could potentially reach 80 million metric tons or more in 2026, driven by attractive pricing and suitability for domestic blending requirements. 

Blending Demand and Supply Constraints

The demand for Mongolian coal is largely linked to its function as a cost-effective blending component rather than a direct replacement for domestic or seaborne coal. Typically low in ash and sulfur, Mongolian coking coal is frequently blended with higher-sulfur domestic coal, especially in Shanxi and Hebei, enabling coke producers to lower costs while preserving quality. JinSong described Mongolian coal as a Tier-2 hard coking coal that integrates well into Chinese blending strategies, complementing rather than competing with domestic supply.

Meanwhile, Russia, China's second-largest coking coal exporter, continues to encounter difficulties, including a 3% import tariff imposed on Russian coal in 2024. Analysts at the China Coal Transportation & Distribution Association (CCTD) indicated that China and Russia are currently in talks about removing the tax. The Russian coal sector is also grappling with rising costs, mining bankruptcies, and international sanctions. As a result, Russian coal's price advantage is diminishing due to higher costs and logistical challenges during winter, prompting Chinese buyers to shift toward Mongolian coal, according to CCTD analysts.

A cross-border railway connecting Mongolia to China's Ganqimaodu land port, scheduled for completion by 2027, is expected to shorten shipping times. Analysts at consultancy Galaxy Futures said that once finished, delivery times from Mongolian mines to Chinese mills could decrease to about 20 hours from three days, potentially boosting exports to 100 million metric tons by 2027. 

Imports Surge in Early 2026

China's imports of Mongolian coal have already demonstrated robust growth in 2026. Customs data reveals that from January to April, China imported 26.42 million metric tons of Mongolian coal, a 68% increase year over year, with both March and April exceeding 7 million metric tons. Chinese mills' daily metallurgical coal consumption averaged roughly 1.56 million metric tons in the week ending May 23, staying close to the supply of about 1.64 million metric tons, which kept inventories under strain. 

Market participants reported that domestic output covers only about 75% of demand, reinforcing the need for imports. According to China-based consultancy GF Futures, Mongolian coal mining costs are approximately Yuan 50-150 per metric ton lower than Shanxi's main coking coal average costs and about Yuan 150-200 per metric ton lower than China's main metallurgical coal average costs. Competitive pricing and enhanced logistics are facilitating greater inflows of Mongolian coal into China. Analysts at China-based consultancy Tongguan Jinyuan stated that the daily average of Mongolian coal transported by trucks to China via the Ganqimaodu land port is expected to surpass 1,400 trucks.

Limited Competition with Seaborne Supply

Mongolian coal primarily serves northern inland markets, whereas seaborne shipments, especially Australian premium hard coking coal, are more commonly used by southern coastal mills, restricting direct competition. Australian supply continues to underpin high-quality blends where coke strength is essential, though higher prices confine its use to performance-driven demand. Analysts expect Chinese buyers to sustain a dual sourcing strategy, balancing inland Mongolian supply with seaborne imports based on price differentials, logistics, and quality.

Safety Inspections Tighten Domestic Supply

Domestic supply disruptions following mining accidents have bolstered near-term prices, leading to stricter safety inspections across key producing regions in China. A fatal gas explosion at the Liushenyu mine in Changzhi, Shanxi, on May 22 halted operations at the site, which has an annual capacity of 1.2 million metric tons. Analysts at S&P Global Energy CERA noted in their latest outlook report that while the mine's capacity is limited, the incident is expected to trigger more rigorous inspections, potentially tightening supply in the short term and supporting CFR prices.

After the accident, China's domestic metallurgical coal stocks have tightened, according to analysts at Tongguan Jinyuan. Upstream producers are reducing inventories, while midstream and downstream operators have started stockpiling. JinSong indicated that production controls are likely to remain in effect for at least two to three months, limiting domestic output and constraining availability. This has supported prices for both domestic and imported coal, with Mongolian cargoes experiencing increased demand at the border.

U.S. Pacific Command Deputy Commander Visits Mongolia, Reaffirms Strategic ‘Third Neighbor’ Partnership www.dvidshub.net

ULAANBAATAR, Mongolia–Lt. Gen. George Rowell, Deputy Commander of U.S. Pacific Command, concluded a multi-day visit to Ulaanbaatar, Mongolia this week, reaffirming the growing security cooperation between the two nations. The visit marked the most senior U.S. PACOMvisit to the country since 2019, underscoring the strength and importance of the U.S.-Mongoliastrategicthird neighbor partnership.

During his visit, Lt. Gen. Rowell met with key Mongolian defense leaders, including Minister of DefenseBatlutDambu, State Secretary of the Ministry of Defense Maj. Gen.GankhuyangDavagdorj, and Chief of the General Staff of the Mongolian Armed Forces, Lt. Gen.GanbyambaSunrev.

"The friendship between our nations demonstrates that geography does not define partnership; shared values and mutual commitment do," said Rowell. "The United States deeply values this partnership, not simply because of what our militaries do together, but because of the trust and mutual respect that underpin everything we accomplish." The visit coincided with the opening of Exercise Khaan Quest 2026, the premier multinational peacekeeping operations exercise in the Indo-Pacific.

Highlighting the exercise and the enduring military ties,Ganbyambastated,"The strategicpartnership between the United States and Mongolia is critically important to our shared goals of peace and stability. This enduring bond is deeply reflected within our ranks, as many of the leaders on my staff are graduates of U.S. military schools. We also see the continued strength of this partnership in Exercise Khaan Quest, which is not only growing in the number of participating nations but is continually improving in the high quality of the training it provides."

In his opening ceremony address, Rowell praised Mongolia’s contributions to global security and the legacy of the ongoing exercise.

"This is not just another ceremony, this is a celebration of twenty years of multilateral partnership, progress, and purpose," said Rowell. "The true heart of Khaan Quest is not found in equipment or tactics, it is found in the people and the partnerships we forge."

While in Ulaanbaatar, Rowell also met with the leadership of the Mongolian Special Forces Command and visited the Special Operations Training Center where Mongolian specialforces conducted pre-deployment training ahead of an upcoming UN peacekeeping mission.

He concluded his visit by touring the Peace Support Operations Training Center alongside Lt. Gen. Hiroki Kobayashi, Commanding General of Japan’s Ground Component Command, and Maj. General Giles Cornelia, Deputy Commanding General of U.S. Army Pacific.

The visit reinforces the strong momentum in the U.S.-Mongolia security relationship and sets a positive course for future partnership.

ULAANBAATAR, MONGOLIA
06.21.2026
Courtesy Story
U.S. Pacific Command

Mongolia tenders 110 MW of solar www.pv-magazine.com

Mongolia’s Ministry of Energy has kicked off a tender for five solar-plus-storage projects.

The independent power producer (IPP) projects are set to have a combined solar capacity of 110 MW connected to 52 MW/188 MWh of battery energy storage systems (BESS).

The invite to tender splits the procurement exercise into five sites, three of which are located in Mongolia’s western region, with the remaining two situated in the country’s eastern region.

The government has identified and secured land for each auction site. The first site will encompass 10 MW of solar alongside a 10 MW/20 MWh BESS in the Bayankhongor province, while the second covers a 20 MW solar plus 10 MW/40 MWh BESS in the Bayan-Ulgii province, both to be built on 60 hectares of land. The third site encompasses a 40 MW solar plus 20 MW/80 MWh project in the Uvs province to be developed on 100 hectares of land.

The fourth site, located in the Sukhbaatar province, will host a 10 MW solar plus 2 MW/8 MWh BESS on 35 hectares of land while the fifth site, in the Dornod province, will be home to a 30 MW solar plus 10 MW/40 MWh BESS on 90 hectares of land.

Chosen developers will be responsible for the design, finance, construction, operation and maintenance of the solar-plus-storage facilities under an IPP structure. Each of the sites will be connected to existing grid substations.

The tender starts with an expression of interest stage, with developers eligible to apply for both the western and eastern lots. The ministry has said it reserves the right to procure through a single competitive auction covering all sites, or through separate competitive auctions for individual sites or groups of sites.

The deadline to submit expressions of interest is August 16, with a request for proposals currently scheduled during the second half of the year.

Mongolia’s cumulative solar capacity stood at 129 MW by the end of 2025, according to figures published by the International Renewable Energy Agency (IRENA), a decrease on the 143 MW reported at the end of 2024. 

By Patrick Jowett

Bank of Mongolia, Kakao Bank Discuss Digital Banking Cooperation www.montsame.mn

Governor of the Bank of Mongolia Narantsogt Sanjaa held an official meeting with Daniel Yun, founder and CEO of South Korea’s leading digital bank, KakaoBank, and the bank’s senior management at their request.

Representatives of KakaoBank presented their plans to invest in and cooperate with M Bank, Mongolia’s first digital bank. They also shared that they are exploring opportunities to introduce digital banking solutions currently used in South Korea to the Mongolian market.

During the meeting, Governor Narantsogt emphasized that the Bank of Mongolia actively supports the introduction of advanced banking and financial services offered by foreign financial institutions into the domestic market, to expand opportunities and improve services for consumers.

In this context, he noted that the central bank is working to improve the necessary legal and regulatory environment and to provide other forms of support required to facilitate such initiatives.

According to the Bank of Mongolia, the two sides also exchanged views on the current economic conditions in their respective countries, the digital transformation of the financial sector, developments in payment systems, and emerging trends in artificial intelligence and financial technology.

Rio Tinto resumes copper exports from massive Mongolian mine www.bloomberg.com

Rio Tinto Group has resumed exports of copper concentrate from its vast Oyu Tolgoi copper mine in Mongolia following a short protest.

The protesters began a blockade of a key road on Wednesday morning local time, preventing trucks from hauling mined copper to the border with China. The reason for the action wasn’t immediately clear, but the mine is controversial in Mongolia, where the government has demanded a bigger share of revenue from operations.

“Concentrate export shipments have resumed normal operations,” the mining giant said through its local subsidiary in a statement on social media.

Oyu Tolgoi is one of the world’s biggest copper mines and is being expanded as part of Rio’s strategy to expand sales of the metal underpinning electrification, the global energy transition and increasing demand from data centers.

Rio operates the mine with 66% ownership. The Mongolian government holds the rest.

© 2026 Bloomberg

By Paul-Alain Hunt, Bloomberg · 18 Jun 2026, 09:00

ACCA and AMIRA sign MoU to advance accountancy in Mongolia www.theaccountant-online.com

The Association of Chartered Certified Accountants (ACCA) has signed a memorandum of understanding (MoU) with the Association of Mongolian Internationally Recognised Accountants (AMIRA) to develop the accountancy profession in Mongolia.

Formed in 2023, AMIRA is a professional body for accounting and finance practitioners in Mongolia.

The newly formed body aims to support the growth of the finance sector and provide a platform for globally recognised accountants in the country.

The MoU sets out a framework for cooperation between ACCA and AMIRA on strengthening the profession, expanding professional development opportunities and deepening engagement with internationally qualified finance professionals in Mongolia.

AMIRA founder and CEO Naranzul Ganzorig said: “At this early stage in the development of our professional body we are delighted to sign a partnership with ACCA as a leading global body.

“We are looking forward to working with ACCA to provide our members professional development and learning opportunities as well as promoting international professional standards in the country.”

The agreement also covers collaboration on talent development and career pathways, member and community engagement, and joint activities in research, thought leadership and knowledge sharing.

ACCA Central Asia, Armenia and Mongolia head Zhanna Iskenova said: “We are delighted to sign this MoU with AMIRA and wish it all the best as it seeks to further the work of financial professionals in Mongolia.

“We look forward to working with AMIRA, strengthening ACCA’s member and stakeholder network in Mongolia.

“This partnership will provide a platform to engage a group of internationally qualified professionals to support ACCA’s advocacy, sustainability and talent development agendas.”

The ACCA recently signed an MoU with the UN Institute for Training and Research to expand capacity-building programmes worldwide.

Mongolia, European Investment Bank Deepen Partnership on Energy Transition www.montsame.mn

Mongolia and the European Investment Bank (EIB) have agreed to deepen their partnership by making greater use of the bank’s financing, technical expertise, and international experience to support Mongolia’s energy transition, regional infrastructure development, and capital market growth.

The matter was discussed during a meeting between Deputy Finance Minister Khulan Bat-Erdene and EIB Vice-President Gelsomina Vigliotti during the deputy minister’s visit to the Grand Duchy of Luxembourg. The two sides exchanged views on the effectiveness of ongoing and future projects, financing arrangements, and broader areas of cooperation.

Since beginning operations in Mongolia in 2014, the European Investment Bank has been an important partner in promoting sustainable development, climate change adaptation, and regional infrastructure development. According to the Ministry of Finance, cooperation reached a new level in 2025 when the Government of Mongolia, the European Union, and the EIB signed a memorandum of understanding providing for up to EUR 1 billion in financing to support Mongolia’s clean energy transition.

In connection with Mongolia’s hosting of the 17th session of the Conference of the Parties to the United Nations Convention to Combat Desertification (COP17) in Ulaanbaatar, the parties also discussed cooperation on combating desertification and land degradation, protecting and restoring forests, and promoting sustainable land management. The EIB expressed its intention to participate in COP17 and support Mongolia’s goals related to climate action, sustainable development, and green finance.

The discussions also covered the possibility of utilizing EIB loans and grant financing under the Green Regional Development Investment Program for Aimags and Soums to accelerate infrastructure projects, including local roads, water supply systems, and wastewater networks.

In addition, the two sides addressed the development of Mongolia’s green capital market, including green bonds, sustainable finance instruments, attracting long-term sources of financing, and creating a more balanced financial structure that is less dependent on the banking sector. They also discussed opportunities to attract international institutional investors to Mongolia’s green bond market through the Global Green Bond Initiative, in which the EIB participates as an investor.

The meeting further focused on Mongolia’s energy transition, investments in renewable energy, expansion of transmission networks, increased private-sector participation, and financing mechanisms to support the country’s gradual shift from a coal-based energy system to a green energy system.

9th Mongolia–U.S. Land Forces Talks Open in Ulaanbaatar www.montsame.mn

The ninth regular consultative meeting between the Land Forces Command of the Mongolian Armed Forces and the United States Army Pacific (USARPAC) opened in Ulaanbaatar.

The meeting, which is held alternately in the two countries, is being hosted by Mongolia this year.

Attending the opening ceremony were Major General Giles J.S. Cornelia, Deputy Commanding General- Strategy and Plans for the U.S. Army Pacific, and Brigadier General Buyandelger Tseveenkhuu, Chief of Staff of the Mongolian Armed Forces Land Forces. The two officials highlighted the importance of bilateral defense relations and military cooperation in their remarks.

In addition to representatives of the two countries' land forces, the consultations are being attended by officials from the U.S. Embassy in Mongolia, led by Defense Attaché Lieutenant Colonel J. Malloy.

The meeting, which plays an important role in strengthening trust and cooperation between the defense sectors of Mongolia and the United States, will continue from June 17 to 19.

The Economic Impact of European Tourists in Mongolia: Prioritizing Quality Over Quantity www.gogo.mn

The former Prime Minister L.Oyun-Erdene set a strategic benchmark to welcome 1 million tourists by 2025. In line with this vision, during her tenure in 2025, former Minister of Tourism Ch. Nomin announced a mid-term strategy to increase arrivals to 2 million by 2030.

To support these ambitious goals, the government launched the "Welcome to Mongolia" marketing campaign in 2023, allocating approximately 15.5 billion MNT in the national budget. These funds were primarily directed toward international exhibitions, global advertising, and supporting the liberalization of the aviation sector.

In 2024, the initiative evolved into the "Go Mongolia" campaign, introducing a new national brand to the global market. An additional 18.7 billion MNT was budgeted for high-quality content production, international broadcasting, the hosting of global influencers, and participation in premier international trade expos.

Over the past three years, Mongolia has invested a total of 34–35 billion MNT in tourism marketing—the largest investment of its kind in the nation's history. While official figures show that arrivals reached approximately 790,000 in 2024 and 854,000 in 2025, falling slightly short of the 1 million target, the economic return on investment (ROI) remains impressive. The ratio of marketing expenditure to sector revenue stands at approximately 1:100, indicating that the investment has been highly effective in generating national income.

Despite this growth, a fundamental question remains for policymakers and industry leaders: "Is mass tourism the right path for Mongolia, or should we focus on attracting a smaller number of high-yield visitors?"

Experts remain divided on this issue. One group advocates for mass tourism from neighboring markets to accelerate economic turnover, while another emphasizes sustainable, high-value, niche tourism that preserves the country's natural heritage.

At the 15th Asian Tourism Forum held recently in Ulaanbaatar, Dr. B. Yerbakhyt, a lecturer at Otgontenger University, provided evidence-based insights through his study, "The Economic Impact of European Tourists Visiting Mongolia." The research team categorized 51 European nations by region and compared their impact with Mongolia’s primary source markets: Russia, China, Japan, and South Korea, utilizing comprehensive data spanning from 1999 to 2023.

Insights into the European Market

Growth Trends: European arrivals peaked at 58,000 in 2019 before the global pandemic disrupted the industry.
Western Europe Dominates: Western Europeans consistently represent 52–55% of all European tourists, reaching a historic high of 59% in 2006.
Northern Europe in Decline: The share of Northern European tourists has dropped from 29% in 2000 to 14.5% in the post-pandemic era.
Eastern European Surge: Arrivals from Eastern Europe rose to 24–28% post-pandemic. Researchers attribute this growth largely to the war-driven influx from Belarus and shifting regional dynamics.
Sector Revenue: Historical Growth and Market Structure

Dr. B. Yerbakhyt’s study meticulously analyzed total sector revenue by market over the past 25 years. While revenue peaked in 2019, the 2023 season marked the most significant post-pandemic recovery to date.

Historically, China has contributed the largest share of total revenue. However, in 2023, a surge in revenue from the Russian and South Korean markets significantly boosted the overall national figures.
Although European arrivals are lower in volume compared to Asian markets, revenue from Western and Northern Europe has proven to be the most resilient and stable stream over the last 25 years, regardless of economic crises or the pandemic.
Tourism Balance: Analyzing Economic Value

The study calculated the tourism balance by comparing inbound tourist numbers with outbound travel by Mongolians to those same regions.

Key Findings:

The balance with China remains in a significant deficit. While Chinese citizens represent 18.3% of arrivals, 59% of all outbound Mongolian travelers head to China, leading to high "economic leakage."
The South Korean market was in deficit before 2005 but has since become a profitable inbound source.
The Spending Gap: Debunking the Japan Myth

The analysis of average long-term spending per tourist revealed that the common perception of Japanese tourists as "high-yield" is a misconception; they spend an average of $793, which is lower than the average Russian tourist ($914). Average Spending by Region:

Northern Europe: $2,057
Western Europe: $1,920
Southern Europe: $1,727
Eastern Europe: $1,700
China: $1,022
South Korea: $697.
Researchers found that every $1 spent by a European tourist generates an additional $0.11 in indirect impact and $0.49 in induced impact for the economy. This multiplier effect makes tourism a vital pillar for agriculture, herders, and SMEs. However, the study critiques that these benefits are not yet equitably reaching nomadic herders.

Conclusion and Strategic Outlook

The research concludes that Western and Northern Europe are Mongolia’s most economically efficient target markets. Specifically, the six European countries that send more than 1,000 tourists annually should be prioritized as high-value strategic targets.

While the Chinese market contributed $2.8 billion over 25 years, its negative tourism balance and low growth potential suggest it should not be the primary focus of investment. According to BCG Matrix analysis, while the South Korean market currently holds a high-growth "Star" position, it is expected to eventually slow down and mature into a "Cash Cow" similar to the Chinese market.

Ultimately, the study serves as a crucial reminder for Mongolia: to prioritize the quality and high spending of markets like Europe over raw arrival numbers, while ensuring that the resulting economic prosperity is inclusive of local communities and herders.

Sources:

B. Yerbakhyt, B.A. Kapsalyamov (2024): "Economic Impact of European Tourists Visiting Mongolia." L.N. Gumilyov Eurasian National University, Astana, Kazakhstan.
Government of Mongolia Resolution No. 264 (2022): Declaring 2023–2025 as the "Visit Mongolia Years."
Vision 2050: Mongolia’s Long-term Development Policy Document. Government Action Plan 2024–2028: Strategy to make tourism a priority sector and reach 2 million tourists.
National Statistics Office of Mongolia (NSO): www.1212.mn – Passenger Border Statistics and Tourism Sample Surveys (2002–2024).
Bank of Mongolia: Balance of Payments Reports (Tourism service export and import data).

EU Ambassador Discusses Cultural and Tourism Cooperation with Mongolia's Minister of Culture www.eeas.europa.eu

From opera theatre to winter landscapes, the EU and Mongolia are finding new ways to connect through culture, tourism, and heritage.

ULAANBAATAR — Ambassador of the European Union to Mongolia H.E. Ina Marciulionyte met with Minister of Culture, Sports, Tourism and Youth Mr. Aldarjavkhlan Jukov on 16 June to discuss opportunities for deeper cooperation between the European Union and Mongolia in the fields of culture and tourism.

During the meeting, the two sides discussed the ongoing modernisation of the Mongolian State Academic Theatre of Opera and Ballet, one of Mongolia's most iconic cultural institutions. They also exchanged views on developing Mongolia's winter tourism potential, drawing on models from Scandinavian countries that have successfully built distinctive tourism identities around their cold seasons. In addition, the meeting covered approaches to engaging local communities and province governors in cultural and tourism development initiatives.

As a former Deputy Minister of Culture of Lithuania and member of the UNESCO Executive Board, Ambassador Marciulionyte brought extensive experience in cultural policy development, cultural heritage safeguarding, and international cultural diplomacy to the discussions.

The European Union remains committed to supporting Mongolia's cultural sector and to fostering people-to-people ties between Europe and Mongolia.