Ann: MoU for Supply of Briquettes , page-51

If the chinese government is not bluffing than they are going to apply differential tariffs on coal grades, step up quality checks on imports to curb shipments of poor-quality coal and in the worst case they are going to ban low rank coal below a certain kcal/kg at all. In August 2013 they started to impose a 3 % tax on lignite imports from countries that are not members of the ASEAN group. Non-ASEAN countries that export lignite to China include Australia, North Korea, Russia and Mongolia. They account for about 4 percent of China's lignite imports. No matter how you look at it: surrounding conditions for low rank coal sales are getting worser and IMO detailed feasibility work for the coal upgrading initiative will be more essential than ever. Supplying the mongolian governemt with briquettes to heat the germ district seems to be comparatively easy; creating a blend product for the export market made by low rank coal and upgraded briquettes needs much more extended testing.