Indonesian state-owned coal miner PT Bukit Asam Tbk. (PTBA) expected coal demand to continue growing in 2025, driven by high energy demand from the power generation sector in developing countries, particularly in southern and southeastern Asia.

The robust coal demand is largely attributed to Association of Southeast Asian Nations (ASEAN) countries and India's reliance on coal as a stable and cost-effective energy source, Bloomberg Technoz reported, citing Corporate Secretary Niko Chandra.

Geopolitical conflicts, such as the Russia-Ukraine conflict, would also contribute to high coal demand, disrupting supplies of natural gas. This, coupled with extreme weather in summer and winter, have led countries to rely more on coal.

In 2025, coal price will remain stable compared to 2024, with fluctuations depending on specific global market conditions.

Coal demand in China is projected to be strong due to its power plants' reliance on coal as a primary raw material, with the average price projected at $140/t in 2025, the Panin Sekuritas analyst Rizal Nur Rafly was cited as said.

In addition, coal demand could stay high due to president-elect Donald Trump's opposition to the transition towards green energy, along with safety concerns related to the ongoing crises in Eastern Europe and Middle East, according to the Ministry of Energy and Mineral Resources (ESDM).

Global coal demand will continue to reach a record high every year, at least until 2027, the International Energy Agency (IEA) predicted.

The IEA forecast global coal consumption to rise to 8.77 billion tonnes in 2024 and remain high until 2027.