Cerrejon, a subsidiary of commodity giant Glencore and the second largest coal producer in Colombia, announced that it would cut 5-10 million tons of thermal coal production.

Cerrejon's steam coal production reached 19 million tons in 2024, and it is expected that production will fall to between 11 million and 16 million tons in 2025.

The difficulty in maintaining the price of seaborne thermal coal is the main reason for the production cut. In addition, the European decarbonization policy and the decline in international coal prices have affected the profits of Colombian coal. Therefore, the production cut will be more conducive to business development and company revenue generation.