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Subsidies to Coal Production in China

This report presents the first detailed estimate of subsidies to coal production in China, identifying an estimated USD 5.8 billion in in government support in 2013.

A further subsidy in the form of credit support was estimated to be between CNY 3.5 and 35.7 billion (USD 0.57 billion and USD 5.8 billion). The major subsidies included tax relief, investment in assets, compensation for mine closures and direct payments. The report finds that more transparency is needed to aid the process of subsidy reform in line with the government policy to reduce coal consumption.

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