Sydney

CHINA, the world's biggest coal consumer, is piling on the pain for Australian producers by ratcheting up import barriers.

China will re-introduce import tariffs in its latest effort to support money-losing domestic miners, according to a statement published on the Finance Ministry website. This follows the government's move last month to ban the import of lower-quality coal and an announcement asking power utilities to reduce coal imports. "It makes Australian coal less competitive relative to China's supply, and that's at a time it's already facing significant challenges, primarily due to the impact of lower prices squeezing margins," Phillip Chippindale, a Sydney-based analyst at Wilson HTM Investment Group, said.