Wedoany.com Report-Nov. 16, Indonesia’s Ministry of Energy and Mineral Resources (ESDM) announced plans to reduce coal production in 2026 as part of measures to stabilize and lift coal prices in the international market. The announcement was made by Tri Winarno, Director General of Minerals and Coal at the ESDM Ministry, in a statement to Antara on Thursday, November 13, 2025. He said: “The production will be restrained. There will be a decrease in production because coal prices have plummeted.” Tri also indicated that coal output in 2026 may fall below 700 million tons, though the ministry has not yet released a specific reduction target.

In 2024, Indonesia’s coal production reached 836 million tons, surpassing the government’s target of 710 million tons by 17 percent. Out of the total output, 233 million tons were supplied under the Domestic Market Obligation (DMO), while 48 million tons were added to domestic coal stockpiles. Indonesia exported 555 million tons of coal in 2024, representing an estimated 33–35 percent of global coal consumption.

Looking ahead, Tri estimated that coal production for 2025 will be around 750 million tons, nearly 100 million tons lower than in 2024. The projected decline in 2026 is intended to support higher prices in the international coal market. Tri stated: “The ideal situation is high production and good prices. That is the goal.”

According to official data, Indonesia’s coal reference prices (HBA) have shown a downward trend. Prices fell to US$103.75 per ton in early November 2025 from US$109.74 per ton at the end of October. This decline reflects broader price adjustments in the global market.

Meanwhile, coal exports from January to July 2025 registered a notable decrease. Data from the Central Statistics Agency (BPS) shows that export values dropped 21.74 percent to US$13.82 billion, compared with US$17.66 billion during the same period in 2024. The reduction highlights the impact of international price changes and shifting demand patterns.

Overall, Indonesia’s planned production adjustment forms part of a broader strategy to balance domestic supply, support price stability and maintain the long-term sustainability of its coal sector.