News dynamics

According to a report by a correspondent from the Russian Port News agency, RSPP the Executive Secretary of the Mining Committee of the Russian Union of Industrialists and Entrepreneurs ( RSPP Commission on the Mining Complex ) Maxim Dovgagallo ( Maxim Dovgagallo ) stated at the forum themed "Mining Industry: Investment Projects and Support Measures" that, 2025 year, the losses in Russia's coal industry may further expand compared to 2024 year, 1600 and may exceed 2500 rubles.

Dovgagallo pointed out: 2023 In year, Russia's coal industry achieved 3000 rubles in profit, but 2024 year, the entire industry recorded a loss of 1600 rubles, and it is expected that 2025 year, the industry's losses will increase to more than 2500 rubles.

" Currently, there are 29 coal companies in Russia that have gone bankrupt, involving an annual production capacity of 4000 thousand tons. According to the Ministry of Economic Development's assessment, another 1.6 ton annual production capacity of enterprises is in the ' red zone ' and their losses far exceed the industry average. This means that in Russia's approximately 4 tons of annual coal production, nearly half face the risk of supply disruptions. "

Dovgagallo explained the two core reasons for the market collapse: First, high industry debt. The current total debt of the coal industry reaches 1.2 trillion rubles, with an average loan interest rate of 30% . It is noteworthy that 2022 year, the industry's total debt was only 7000 rubles, and at that time, the USD loan interest rate was only 4-5% 。

Second, excessive government charges. Over the past five years, the government has extracted about 5000 rubles from the industry during its profitable cycle through tax and financial measures, severely weakening the enterprises' investment capacity. According to data from the Russian Ministry of Finance, 2025 year's federal budget energy tax revenue is expected to reach 37% with the contribution from the coal industry having decreased by 2020 percentage points compared to 8 year.

Dovgagallo concluded: "Under the current interest rate environment, industry investment has completely stalled, and can only maintain basic safety production."

Without government support, Russia's coal production and exports will continue to decline, and the industrial crisis will further intensify.

According to the Russian Ministry of Energy's assessment, without timely government intervention and policy support, 2025 year, Russia's coal production will decrease to 3.996 billion tons, a decrease of 2024 million tons compared to 4380 year, a drop of 9.9% ; coal exports will fall to 1.665 billion tons, a decrease of 2024 million tons compared to 2940 year, a drop of 15%。

Russian Energy Minister Sergei Tsivilev ( Sergei Tsivilev ) stated that it is necessary to take urgent national support measures to stabilize the coal industry. This statement was made following a strategic meeting on the oil and coal industries held by the government on 2025 year 4 month 1 day. At the strategic meeting, Russian Prime Minister Mikhail Mishustin ( Mikhail Mishustin ) emphasized the need to address logistical challenges and reduce the cost of railway coal transportation for companies. It was also at this meeting that the Russian Ministry of Energy was requested to submit proposals to stabilize the coal industry situation within two months. Tsivilev stated that these measures are expected to be completed in a shorter time frame.

The ministry believes that the main task in supporting the coal industry is to maintain export volume and eastward exports at no less than last year's level. A series of measures are also suggested to improve the operation of international export supplies.

Key measures should include: 2025 suspending the price increase of Russian Railways ( RZD ) before the end of the year, canceling the indexed adjustment of the empty car mileage freight rate by the monopoly enterprises, and providing 10% discount and necessary freight subsidies for westward railway transportation. 12.8% 的折扣和必要的运价补贴。