Indonesia Coal HS270119 Export Data 2025 June Overview

Indonesia Coal (HS 270119) 2025 June Export: Key Takeaways

Indonesia’s coal exports under HS Code 270119 in June 2025 reveal a market dominated by India, which accounts for 32.38% of volume but pays lower prices, signaling high-volume, cost-sensitive demand for lower-grade coal. China and other Asian buyers form a secondary cluster, paying premium prices for higher-quality coal, reflecting diversified industrial needs. The market shows strong geographic concentration, with India and China driving bulk demand, while Indonesia’s new export pricing mandate adds supply chain uncertainty. This analysis, covering June 2025, is based on cleanly processed Customs data from the yTrade database.

Indonesia Coal (HS 270119) 2025 June Export Background

Indonesia’s Coal (HS Code 270119: other than anthracite and bituminous, whether or not pulverised but not agglomerated) fuels power plants and industrial boilers globally, with steady demand from energy-intensive sectors. As of June 2025, Indonesia’s export policy mandates thermal coal prices align with the domestic HBA benchmark, aiming to boost revenue while causing market uncertainty [SP Global]. The country remains a key exporter, leveraging its vast reserves to meet Asia’s growing energy needs despite regulatory shifts.

Indonesia Coal (HS 270119) 2025 June Export: Trend Summary

Key Observations

In June 2025, Indonesia's coal exports under HS Code 270119 were valued at $1.27 billion with a volume of 22.68 billion kilograms, reflecting a sharp decline from prior months.

Price and Volume Dynamics

The month-over-month comparison shows a 23% drop in value and a 20% decrease in volume from May to June 2025. Quarter-over-quarter, Q2 exports fell 6% in value compared to Q1, despite a marginal volume increase. Coal exports typically maintain steady flows due to consistent global energy demand, but this abrupt reduction indicates a disruption to normal trade patterns, likely driven by external policy shifts rather than seasonal or cyclical factors.

External Context and Outlook

The decline aligns with Indonesia's implementation of a new coal export pricing mandate in March 2025, as reported by S&P Global, which required thermal coal exports to be priced at domestic benchmarks, causing contract uncertainties and trade halts. This policy, aimed at revenue maximization, directly impacted June's export figures for Indonesia Coal HS Code 270119. Future volatility may persist as Indonesia considers additional export levies, influencing global coal market stability through 2025.

Indonesia Coal (HS 270119) 2025 June Export: HS Code Breakdown

Product Specialization and Concentration

In June 2025, Indonesia's export of Coal under HS Code 270119 is completely dominated by a single sub-code, 27011900, which covers "Coal; (other than anthracite and bituminous), whether or not pulverised but not agglomerated". This sub-code represents 100% of the export value and volume, with a low unit price of approximately 0.06 USD per kilogram, confirming it as a standardized bulk commodity without any price anomalies or variations.

Value-Chain Structure and Grade Analysis

With only one sub-code present, Indonesia's Coal exports under HS 270119 are homogeneous and undifferentiated, consisting solely of raw, unprocessed coal. This lack of sub-categories indicates a trade in fungible bulk commodities, typically priced against global indices rather than based on value-added features or quality grades.

Strategic Implication and Pricing Power

For Indonesia Coal HS Code 270119 Export in 2025 June, the homogeneous nature limits pricing power, making it susceptible to government interventions like the recent pricing mandate tied to domestic indices [S&P Global]. Exporters must align with policy shifts, potentially reducing negotiation flexibility and impacting global competitiveness.

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Indonesia Coal (HS 270119) 2025 June Export: Market Concentration

Geographic Concentration and Dominant Role

In June 2025, Indonesia's coal exports under HS Code 270119 show strong geographic concentration, with India as the dominant importer by volume and value. India accounts for 32.38% of the total weight but only 27.61% of the value, indicating a lower unit price of around $0.048 per kg, which suggests imports of lower-grade coal for bulk energy needs. This disparity highlights India's role as a high-volume, cost-sensitive buyer in the Indonesia Coal HS Code 270119 Export 2025 June landscape.

Partner Countries Clusters and Underlying Causes

The importers form two main clusters: high-volume buyers like India and China Mainland, which take large quantities at lower prices, likely for power generation due to high energy demand and proximity. A second cluster includes Malaysia, South Korea, and China Taiwan, which have higher value-to-weight ratios, paying up to $0.079 per kg, indicating purchases of higher-grade coal for industrial use or better quality requirements. Smaller importers such as the Philippines and Vietnam fall in between, balancing volume and price based on regional trade ties and infrastructure.

Forward Strategy and Supply Chain Implications

With Indonesia's new export pricing mandate requiring coal to be sold at or above the domestic reference price (HBA) [SSEK], importers face potential cost increases and supply uncertainties. High-volume buyers like India may need to secure long-term contracts to mitigate price volatility, while higher-price importers could explore diversification to other sources. Supply chains should prioritize flexibility and monitor policy changes, such as potential export levies (SSEK), to adapt quickly to market shifts.

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Indonesia Coal (HS 270119) 2025 June Export: Action Plan for Coal Market Expansion

Strategic Supply Chain Overview

Indonesia's Coal Export 2025 June for HS Code 270119 operates as a bulk commodity market. Its price is driven by government policy, not product quality. Recent mandates tie export prices to a domestic benchmark, overriding traditional negotiation. High buyer concentration—86% of value from one group—creates volume risk. Geographically, India and China dominate volume but pay lower prices, while others pay more for better grades. The supply chain is policy-dependent and exposed to shifts in major buyer demand or regulatory changes.

Action Plan: Data-Driven Steps for Coal Market Execution

• Monitor real-time policy alerts on Indonesia's coal pricing mandates. Why: Sudden changes can disrupt contracts and profitability, requiring immediate strategy adjustments.
• Secure long-term contracts with the top buyer cluster representing 86% of value. Why: This locks in volume stability and reduces vulnerability to spot market fluctuations.
• Diversify export destinations using trade data to target higher-value markets like South Korea. Why: This balances reliance on high-volume, low-price buyers and improves overall margin.
• Analyze shipment frequency data to anticipate inventory needs for major buyers. Why: This prevents stockouts or overcommitment, ensuring reliable supply to core clients.
• Use unit price benchmarks by destination in buyer negotiations. Why: This provides leverage to justify pricing tiers based on proven market rates for different coal grades.

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Frequently Asked Questions

Q1. What is driving the recent changes in Indonesia Coal Export 2025 June?

The sharp 23% drop in value and 20% decline in volume from May to June 2025 is primarily due to Indonesia's new export pricing mandate, which tied thermal coal prices to domestic benchmarks, causing contract uncertainties and trade halts.

Q2. Who are the main partner countries in this Indonesia Coal Export 2025 June?

India dominates as the top importer, accounting for 32.38% of volume and 27.61% of value, followed by China Mainland and Malaysia, which purchase higher-grade coal at premium prices.

Q3. Why does the unit price differ across Indonesia Coal Export 2025 June partner countries?

Price differences stem from buyer needs: India imports low-grade coal (around $0.048/kg) for bulk energy, while Malaysia and South Korea pay up to $0.079/kg for higher-quality industrial coal.

Q4. What should exporters in Indonesia focus on in the current Coal export market?

Exporters must prioritize long-term contracts with the dominant buyer cluster (86% of value) while monitoring regulatory risks like pricing mandates and potential export levies.

Q5. What does this Indonesia Coal export pattern mean for buyers in partner countries?

High-volume buyers like India face cost pressures from pricing mandates, while premium buyers may need to diversify sources to mitigate supply uncertainties.

Q6. How is Coal typically used in this trade flow?

The homogeneous, unprocessed coal (HS 27011900) is primarily used for bulk energy generation, particularly in high-demand markets like India and China.