A new report from Zero Carbon Analytics warns that billions in financing for metallurgical coal mines in Asia could become stranded assets. While India's demand is growing, it cannot offset the sharp decline in China, where the economy is shifting away from infrastructure and toward services. The rise of green steel technologies, such as Electric Arc Furnaces and hydrogen processing, is reducing the need for traditional blast furnaces. Combined with carbon taxes like the EU's CBAM, these shifts create a high risk of oversupply and financial loss for institutional investors and banks.
