According to ANZ Bank the Chinese government will be promoting natural gas over coal in areas battling air pollution such as Beijing, Tianjin and Hebei.
"They will also target a 10% reduction in coal use by 2020 compared with 2015," the ANZ said in a report.
"The plan also reiterated the goal for natural gas to account for 10% of total energy consumption by 2020."
Thermal coal was up by 1.9% over the past week to US$116.60 per tonne.
With investors concerned about the impact of US tariffs on Chinese finished goods, the release of China's commodity trade data this week will be an important indicator of its impact on raw materials, according to ANZ. <...