China’s most-used freight railway saw November shipments plunge by 7.95% year-on-year amid weakening domestic demand for coal.

The Daqin line, which connects four northern provinces, transported 35.41 million tons of freight last month, according to a Tuesday report by its operator, Daqin Railway. The line shipped a total of 376 million tons of goods during the first 11 months of the year, a 4.15% decline on the same period last year.

The Daqin line’s route snakes through the coal-rich region of Shanxi to the energy-hungry northern province of Hebei. Last year, it transported 451 million tons of coal, accounting for 14.14% of overall rail shipments of the black rock in China.

Experts told Caixin that a contraction in domestic coal demand squeezed the line’s freight volume. “China’s import restrictions on coal last year drove stronger domestic demand, resulting in higher-than-usual consumption of the country’s coal and increased shipments along the Daqin line,” said Zeng Hao, a coal analyst at Fenwei Energy Consulting.

Read the full story later today on Caixin Global.

Contact reporter Lu Yutong (yutonglu@caixin.com)

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