China's exporters cancel agency deals

摘要

China's four exporters are understood to be cancelling some agency agreements with traders and producers, in order to maximise exports of their own products. At present this seems to be hitting PCI contracts the most. With international steam coal prices remaining 30-40 dollars/t higher than the domestic market and export licences having being cut by 17mt compared with .2007, the official exporters want to ramp up their share of this steam coal market and are trying to get but of their less lucrative agency agreements. Licensed exporter and producer Shenhua is believed to have cancelled a contract already, while Minmetals and Shanxi are thought to be preparing to do so.