Coal-related stocks continued their upward trajectory in Hong Kong trading. KINETIC DEV (01277) advanced 3.93% to HK$2.115, while CHINA SHENHUA (01088) gained 2.67% to HK$46.84. YANKUANG ENERGY (01171) climbed 2.61% to HK$13.77, and CHINA COAL (01898) rose 1.49% to HK$11.58.

On the news front, coal prices have accelerated their uptick recently. Data shows that as of September 4, the market price of 5,500 kcal thermal coal at Qinhuangdao Port stood at 962 yuan per tonne, up 81 yuan per tonne week-on-week and 282 yuan per tonne year-on-year, marking the highest level since October 2023. Meanwhile, the market price of primary coking coal from Shanxi reached 2,395 yuan per tonne on September 4, up 179 yuan per tonne from the prior week and 1,139 yuan per tonne from a year ago, hitting a fresh peak not seen since June 2022.

The core driver of industry performance remains pricing power. For the first half of 2026, 17 A-share listed coal producers realized an average sales price of 594 yuan per tonne for self-produced coal, up 11.4% year-on-year, while the average cost per tonne stood at 369 yuan, reflecting a 2.6% increase year-on-year. Rising prices are the most critical factor supporting sector earnings.

Looking ahead to the second half of the year, market consensus suggests that the average coal price benchmark is set to climb further, which is expected to underpin stronger financial results across coal enterprises.