FX.co ★ Coal Marches Toward Fresh 1-Year High

Coal prices rose above $115 per ton in mid-February, nearing their highest level in a year, as expectations of resilient demand outweighed the longer-term global shift toward cleaner energy. China, the world’s largest coal producer and consumer, brought 78 GW of new coal-fired power capacity online in 2025, the largest annual increase in a decade. This expansion highlights Beijing’s focus on energy security and grid reliability during peak demand, even as non-fossil fuel generation capacity surpassed fossil fuel-based capacity for the first time. China still operates the world’s largest coal power fleet and is responsible for roughly 71% of global coal capacity currently under development. In the United States, President Donald Trump has moved to bolster the struggling coal-fired power sector by allocating $175 million in federal funding to upgrade six plants and directing the Department of Defense to purchase electricity from additional facilities.