The mining of hard coal and lignite in Vietnam decreased by 11.7 percent in December compared to November, according to Vietnam’s Industrial Production Index.
Year-on-year, the sector saw a 2.6 percent decline in December 2024 compared to December 2023. Over the full year, the mining of coal and lignite contracted by 5.5 percent in 2024 compared to 2023, indicating sustained challenges in the industry.
The sharp monthly decline in December reflects reduced production activities, likely driven by lower demand during the year-end period or operational difficulties. The annual contraction underscores challenges such as declining reserves, ageing mining infrastructure, and the global shift towards renewable energy, which has affected the long-term viability of coal mining.
In Vietnam, coal mining remains a significant contributor to the energy sector, powering much of the country’s electricity needs. However, the industry faces increasing pressure to adapt to cleaner energy alternatives as part of Vietnam’s climate commitments and economic diversification efforts.
The December figures highlight the need for strategic reforms and investments to ensure the sustainability of Vietnam’s coal mining sector in the face of shifting global energy dynamics.
See also: Mining in Vietnam: Industry Overview