Slow consumption, large coal reserves
In 2025, the Vietnam National Coal and Mineral Industries Group (TKV) will face difficulties due to slow coal consumption, a significant decrease compared to the balanced plan (a decrease of 6 million tons).
Although he has been very active, proactive in searching and expanding the market, boosting coal consumption for customers, the export of high-quality coal has decreased by over 1.1 million tons; coal consumption for thermal power plants - the largest customer group - decreased by over 5.4 million tons compared to the plan.
There were times when the total coal inventory of the group reached over 12 million tons. This is the largest inventory level since 2020, creating significant pressure on cash flow, storage and production management costs.
The main reason pointed out by TKV is that thermal power plants have significantly reduced their demand for coal. In 2025, prolonged heavy rain caused hydropower reservoirs in many areas to be flooded, the generation capacity from hydropower plants increased, leading to a decline in the mobilizing role of coal-fired thermal power in the national power source structure. When hydropower is "upgraded", the demand for coal for power generation immediately stagnates.
It is expected that in 2025, raw coal will be produced in 38.4 million tons, equal to 100.9% of the annual plan; coal consumption will be 44 million tons, equal to 88% of the annual plan, of which coal for power generation is expected to be used for 36.76 million tons, equal to 87.5% of the annual plan and equal to 92% of the annual plan in 2024.
The impact of slow coal consumption is clearly shown in the financial reports of many member coal companies. Many member companies of TKV recorded deep declines in revenue and profit compared to the same period.
Maintain production rhythm, stabilize income
In contrast to the gloomy picture of consumption, coal production activities of TKV and its member units in 2025 still achieved positive results. It is expected that for the whole year, raw coal production will reach 38.4 million tons, equal to 100.9% of the annual plan.
Many typical units continue to successfully overcome difficulties. Ha Tu Coal produces about 2.5 million tons of coal, ensuring jobs and an average income for workers at 14.3 million VND/person/month. The Nui Beo coal mine officially achieved a designed capacity of 2 million tons/year after nearly 14 years of construction investment - an important milestone in TKV's tunnel mine development strategy.
Cao Son Coal in 2025 will produce more than 4.2 million tons of coal, coal consumption will reach over 4.1 million tons, profits will exceed the adjusted plan, and average wages for workers will reach about 14.5 million VND/person/month.
A notable bright spot in the industry picture is that the lives and incomes of workers are still kept stable, even higher than planned. It is expected that in 2025, the total revenue of TKV will reach about VND 161,035 billion (equal to 93.2% of the plan), but the profit of the entire group will reach VND 6,980 billion, equal to 205% of the plan; the payment to the State budget is expected to reach VND 25.5 trillion, equal to 102.0% of the plan.
The average salary of the whole group is estimated at 19.5 million VND/person/month; the coal production sector alone reached about 20.2 million VND/person/month, all exceeding the set plan.
This is the result of TKV's proactive operation, cost reduction, restructuring production, promoting Mechanization, automation and digital transformation in management and operation.
In 2026, TKV aims to exploit about 36.845 million tons of raw coal; consume 50 million tons, of which coal is supplied to power generation for about 42 million tons; import about 11 million tons for mixing, meeting the technical requirements of thermal power plants.
