Mongolia has made substantial progress in lifting its coal exports to China in past five years, thanks to bilateral cooperation, and the country will further advance this achievement, said CEO of Mongolian Coal Association at a market summit on February 27.

The bilateral trading volume target between China and Mongolia has been raised to $20 million over the next five years, and Mongolia will strengthen its mineral product and coal transactions with China, said Bagatemuujin B., also a foreign affairs manager of Naryn Sukhait Railway.

Bagatemuujin said the Sino-Mongolia trade volume was $14.10 billion in 2023, and further increased $19.05 billion in 2024 after reaching $17.6 billion in 2023.

Mongolian coal exports have been in a quick upward trajectory in past five years, touching a record high of 83.7 million tonnes in 2024 from the level below 30 million tonnes.

Coking coal exports from Mongolia took 67% of the total, down 18 percentage points from the average in past eight years, highlighting the fact that thermal coal exports are increasing, Bagatemuujin B. said.

There were two main transaction methods for coal in 2024, with offline deals accounting for 74%, and online auctions covering 22.37 million tonnes of coal, a share of 26%.

This also helped Mongolian coal to attain a larger share of 15.1% of China's coal imports in 2024, versus less than 10% during 2020-2021.

The main China-Mongolia coal border crossings mainly were Gahuun Sukhait/Ganqimaodu, KHangi/Mandula, Shivee Khuren/Ceke, ZamiinUud/Erenhot and Bulgan-Takeshiken.

Ganqimaodu is the largest inland gate, and Ceke ranks the second, while Erenhot is so far the only border crossing that is connected with railways.

In 2024, about 48% of Mongolian coal passed into China through Ganqimaodu, while 29% was through Ceke.

While railway construction at Shivee Khuren and KHangi has completed, the connection works haven't been done with railways within Chinese territory. The cross-border agreement and design work of Ganqimaodu was still in progress.

There still are two other border crossings: Bichigt-Zhuengadabuqi and Tsagaandelger/Wuliji. The first is mainly responsible for thermal coal imports, which were quite low. The construction of border crossing in China side has completed, but construction drawings and related documents for Mongolian side are still in review.

Bagatemuujin B. noted Mongolia aimed to export 83 million tonnes of coal in 2025. He also pointed the country's annual production capacity can reach above 110 million tonnes easily.