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Indonesia’s coal sector at a crossroads as output set to fall
Indonesia's coal production reached a record 836 million tonnes in 2024, but is projected to fall to approximately 755-756 million tonnes in 2025. This decline is driven by a contraction in export markets, particularly in China and India, where domestic production and renewable energy deployment are displacing Indonesian imports. While Indonesia's domestic demand continues to grow—driven by the power sector and metal processing industries—it is insufficient to offset the export losses. The report notes that Indonesia's long-term coal demand trajectory remains misaligned with Paris Agreement goals.
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Document type: Report