As we discussed in Commodore Research's most recent Weekly Dry Bulk Report, China's coal production in October totaled 411.8 million tons. This is down month-on-month by 2.7 million tons (-1%) but is up year-on-year by 23 million tons (6%). This has marked the largest production ever seen in the month of October and has marked a fifth straight month where China’s coal production has grown on a year-on-year basis.
Coal-derived electricity generation, which makes up the bulk of China's electricity generation, totaled 477.1 billion kilowatt hours. This has marked a month-on-month decline of 68 billion kilowatt hours (-13%) but is up year-on-year by 11.7 billion kilowatt hours (3%). Overall, it has not helped Chinese coal import demand prospects that coal-derived electricity generation growth last month fared worse than domestic coal production growth. Previously, coal-derived electricity generation growth had exceeded domestic coal production growth for two straight months.
China’s total electricity generation came in at 731 billion kilowatt hours. This has marked a month-on-month decline of 71.4 billion kilowatt hours (-9%) but is up year-on-year by 26.6 billion kilowatt hours (3%). This 3% year-on-year growth is much lower than the 8% growth that was seen in September.
Hydropower output totaled only 104.9 billion kilowatt hours as water inflow into the Three Gorges Dam has remained low. This is down month-on-month by 15 billion kilowatt hours (-13%) and is down year-on-year by 17.4 billion kilowatt hours (-14%). China's hydropower output has now fallen on a year-on-year basis for two straight months after previously increasing on a year-on-year basis for thirteen straight months.
