Speakers:
Kevin Bertoli: Asian Equities Portfolio Manager
In an attempt to decrease China's air pollution, China has banned of the sale and import of coal with high ash or sulfur. The decline of thermal coal requirements in China will have negative effects on the Australian thermal coal exporters, as 80% of thermal coal exports now fall into this banned category. The impact will likely lead to one of two things for exporters, refinement via washing (which will increase production costs), or having to find another buyer (with China the largest buyer no longer in the market, the price will be reduced), both of which will have a negative impact. The bigger issue however, is the slowdown in China and how this will impact Australian exporters. Following this discussion, Kevin closes on the recent Alibaba IPO.
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