CHINA

Coal Mines in Red: Ninety-five percent of China’s state coal mines are losing money, according to an official report on the latest woes of the economy’s overstaffed, inefficient, centrally planned sector. The China Daily newspaper said last week that stockpiles at mines run by the central government grew by 40 million tons to 160 million tons at the end of June, forcing many mines to slow operations. The smaller mines run by local governments also are in trouble, with about half running at a loss, the report said. The same newspaper reported in a separate article that the government will invest about $31.7 billion during 1991-95 to build major hydroelectric plants in China’s interior. The goal is to boost the economies of inland provinces, which complain of neglect while investment has been lavished on coastal cities. The China Daily acknowledged that the nation’s growing electric power industry has reduced demand for coal. But it said the coal industry’s main problem is defaulting by customers.