China's coal industry lashes Australia for 'irresponsible comments'

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A Chinese coal industry official has criticised Australia for biting the hand that feeds it at a coal conference in Beijing

, a rare public acknowledgement that diplomatic tensions could be the cause of slowing trade.

"Although businesses can conduct effective, friendly and reasonable cooperation between the two countries, the political factors have to be considered," he said.Immediately before his comments, Mr Cui pointed out the Australian embassy was in the audience, saying Australia was the largest coking coal exporter to China.One audience member said: "We’ve all been chasing this phantom of what’s driving this behaviour and this was a much clearer articulation – in an inappropriate forum.

Australian diplomats have attended a spate of coal industry conferences across Beijing and Shanghai in the past fortnight to try to understand why Australian coal was facing a slowdown and try to determine how long it will last.The conference heard that a restriction policy on overall imported coking coal levels would become tougher in 2019.

The Chinese government had initially aimed to encourage high-quality imports and discourage low quality imported coal, but the restriction policy had been implemented with no differentiation, she said. The deputy director of the China Iron and Steel Association, Shi Hongwei, told the conference reform to the steel industry and upgrading furnaces would drive demand for high quality coking coal, even though overall demand for coal would fall.

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China is currently developing coal power capacity equivalent to the entire capacity of the United States. Chinese representatives dont make unscripted statements; this is a strategy to create favourable trading conditions for its anticipated demand for Australian coal.

Because they buy lots of resources from us means we should be quiet? I dont think so. China tells everyone not to interfere in its internal affairs. China should practice what it preaches and stop meddling in Australian affairs.

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