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From production to seaborne transport & consumption CommoditiesCOALProlonged Middle East supply disruption drives thermal coal demand Prolonged disruption to Middle East energy supplies is triggering a rebound in global thermal coal demand, as countries scramble to secure power amid constrained LNG flows through the Strait of Hormuz, according to Wood Mackenzie. %u201cIn supply shocks of this scale, coal becomes a critical fallback for energy security%u201d, reports Sushmita Vazirani, Principal Analyst, Bulk Commodities at Wood Mackenzie. %u201cDespite decarbonisation commitments across Asia, tightening LNG supply and elevated prices are accelerating fuel switching back to coal%u201d.While the Strait of Hormuz remains the world%u2019s most critical chokepoint for oil and gas, relatively little thermal coal trade passes through it directly. Major coal exporters, including Australia, Indonesia, Russia, South Africa, and Colombia, are not directly exposed to the route. However, disruptions to LNG supply are creating significant spillover effects, as higher gas prices drive fuel switching toward coal in price-sensitive markets across Asia and Europe.Regional markets respond with fuel switching and policy shifts:Northeast Asia: Coal-fired generation remains firm despite seasonal weakness in regional demand, supported by rising LNG prices. Taiwan is preparing to restart the 2.1 GW Hsinta coal-fired power plant, which could consume approximately 5.5 MT annually. South Korea has increased guidance for Russian coal imports, while Japan is expected to rely more on nuclear generation, including restarts such as the Kashiwazaki-Kariwa Unit 6. China: With gas accounting for less than 3% of power generation, China remains relatively insulated and is shifting toward domestic coal supply. Dry bulkEdited by: %u039cichalis Psalis320 NX