South Africa Emerges as Israel’s Largest Coal Supplier After Colombia Halts Exports

South Africa has become Israel’s leading supplier of thermal coal after Colombia enacted a full ban on coal exports to the country, reshaping trade flows in a market already under geopolitical pressure.

Data from shipping and customs sources cited by Reuters show that South African mining companies significantly increased coal shipments to Israel in late 2024 and throughout 2025, filling a gap left by Colombia’s withdrawal from the market. The surge comes despite South Africa’s strong diplomatic opposition to Israel’s actions in Gaza.

Colombia’s exit reshapes the market

In August 2024, Colombian President Gustavo Petro announced that his government would halt coal exports to Israel, citing concerns that Colombian coal was being used in military operations linked to the Gaza conflict. While initial deliveries continued under existing contracts, a presidential decree issued in July 2025 formally closed legal loopholes and imposed a comprehensive ban.

Under the decree, Colombia committed to exporting “not a single ton” of coal to Israel while hostilities continued, including authorising naval enforcement to prevent shipments.

The decision was economically significant. Coal is Colombia’s second-largest export after oil, and in 2023 the country shipped nearly $447 million worth of coal to Israel, accounting for around 5% of Colombia’s total coal exports and almost half of Israel’s coal imports. By mid-2024, roughly 41% of Israel’s coal imports originated from Colombia, primarily supplied by Glencore and Drummond.

South Africa steps in

As Colombian exports fell to zero in the three months to November 2025, South African suppliers moved quickly to fill the shortfall. Coal shipments from South Africa to Israel rose 87% year-on-year to 474,000 metric tonnes over the period, according to shipping data. A further 170,000 tonnes is expected to ship in December alone.

The increased flows lifted Israel’s total coal imports by 20% to 667,442 tonnes in the three months to October — the highest three-month import volume recorded since February 2017, based on South African customs data.

Since September, all electricity-grade coal shipped to Israel has originated from South Africa. Industry data suggest that more than a dozen South Africa-based exporters have supplied coal to Israel since 2023.

Diplomacy versus trade realities

The trade expansion highlights a divergence between South Africa’s diplomatic stance and its commercial activity. Pretoria has been among Israel’s most outspoken critics, filing a case at the International Court of Justice accusing Israel of genocide — an allegation rejected by Israeli Prime Minister Benjamin Netanyahu.

Unlike Colombia, however, South Africa has not imposed formal trade restrictions. Trade Minister Parks Tau has previously warned that unilateral sanctions could expose the country to legal challenges under World Trade Organization rules. Colombia, also a WTO member, has so far faced no formal dispute following its coal export ban.

A temporary opportunity?

With Russia’s role in global coal markets diminishing, Israel has been actively seeking alternative suppliers. Coal imports from Russia now account for less than 3% of Israel’s total imports this year.

Looking ahead, South Africa’s share of Israel’s seaborne coal imports is projected to rise to 55% in 2025, more than triple its share in 2024 and the highest level since 2017. The expansion comes at a time when South African exporters are under pressure from weak domestic demand and broader economic constraints.

However, the opportunity may be short-lived. Israel plans to phase out coal as a primary energy source by 2027, transitioning largely to natural gas. While coal will remain part of the energy mix in the near term, long-term demand is expected to decline.

For now, South Africa’s coal industry has capitalised on a sudden shift in global supply dynamics — underscoring how geopolitical decisions in one producing country can rapidly reshape trade flows across continents.