Trains Presses Rates

The rates for the provision of open-top cars for coal transportation dropped by 7-15%

The rates for the provision of open-top cars for coal transportation dropped by 7-15% in March due to the continuing deterioration of market conditions in the global coal industry. Analysts predict that this decline will continue into April, with rates falling below the break-even point for open-top cars. However, this will not bring coal exports into the profitability zone. Next year, the behavior of rates will depend on various factors, including global demand and coal prices, as well as loading indicators and the operational situation on the Russian Railways network.

According to the Institute for Transport Economics and Development, the losses of Russian Railways (RZD) from coal transportation on the Eastern Polygon, where coal accounts for 73% of export loading, amounted to 428.3 billion rubles from 2014 to 2024.

The full text of the article can be found on the Kommersant website.