Jakarta (ANTARA) – The Indonesian Ministry of Energy and Mineral Resources plans to reduce coal production to around 600 million tons in 2026, nearly 200 million tons lower than the 790 million tons produced in 2025.The plan was confirmed by Energy and Mineral Resources Minister Bahlil Lahadalia during a press conference in Jakarta on Thursday.In addition to cutting coal production, the ministry also intends to reduce nickel output in 2026. However, the total scale of the planned nickel production cuts has yet to be determined.“We will adjust it according to industrial demand,” Lahadalia said.The production cuts are aimed at stabilizing global commodity prices. Currently, global coal trade reaches approximately 1.3 billion tons per year, with Indonesia contributing around 514 million tons.This substantial share has contributed to a decline in global coal prices, as reflected in the benchmark coal price.Indonesia’s benchmark coal price for the first period of January 2026 stood at US$103.30 per ton, significantly lower than the US$124.24 per ton recorded in February 2025.Given Indonesia’s massive share of the global coal trade, the Ministry of Energy and Mineral Resources is confident that cutting production will be able to drive the price back up.”This is to ensure favorable prices and to make sure we can pass these mines down to future generations,” he said.Meanwhile, nickel prices also saw a decline, dropping from US$15,660 per dry metric ton (dmt) in January 2025 to US$14,630 per dmt in the first period of January 2026.Minister Lahadalia also urged major industrial players to purchase nickel ore from local mining companies.”There should be no monopoly. We want strong investors, but we also want local companies to be strong as well, to encourage collaboration,” he said.