Kazakhstan coal transshipments via Russian Baltic and southern ports rose notably in the first half of 2026, driven by a rail transport agreement and EU sanctions exemptions, according to a report from CCA.

Data showed Kazakhstan shipped 6.7 million tonnes of coal via Russian Baltic and southern ports in January-June 2026, up 34.0% or 1.7 million tonnes year on year.

The growth was attributed to an agreement reached in April 2025 between Russian Railways (RZD) and Kazakhstan Temir Zholy (KTZ) to increase coal supplies to Russian ports, the report said.

A decision by the European Union in July 2025 also played a key role, exempting transactions with certain Russian ports from sanctions restrictions for the purpose of transshipping Kazakhstan coal.

The increase in Kazakhstan coal transshipments also came as Russia's coal industry faced a crisis and Russian coal supplies to the northwest direction declined.

A previously promised 12.8% discount on RZD rail freight tariffs for shipments to northwest and southern ports was not implemented. The route remained unprofitable for Russian coal exporters due to rising freight costs, sanctions impact and low coal prices, leading to record losses.

In the first half of 2026, Russian coal transshipments via the same two routes fell to 30 million tonnes, down 3.3% or 1 million tonnes year on year.

During the period, total coal volumes handled at Russian northwest and southern terminals, including both Russian and Kazakhstan coal, reached 36.7 million tonnes, up 1.9% or 700,000 tonnes year on year.