The Industrial Production Index (IPI) for the mining of hard coal and lignite increased by 7.02 percent in November compared to October, reflecting a notable month-on-month improvement, according to Vietnam’s General Statistics Office. This growth suggests a short-term recovery in coal mining activity after recent fluctuations.
Year-on-year, however, the sector contracted by 4.78 percent in November 2024 compared to the same month in 2023. Over the first 11 months of 2024, the IPI for coal mining recorded an overall decline of 5.30 percent compared to the corresponding period in the previous year, highlighting ongoing pressures within the industry.
These trends indicate that while coal production showed a rebound in November, the sector continues to face long-term challenges, including declining demand for fossil fuels, fluctuating global coal prices, and increased competition from renewable energy sources. Modernising operations and adapting to shifting market conditions will be key to sustaining this sector.
Coal mining remains an essential part of Vietnam’s industrial landscape, contributing to domestic energy security and export revenues. However, its future growth depends on balancing production efficiency with sustainability goals and economic diversification.
See also: Coal Power in Vietnam: Industry Overview