Russia's coal industry, reeling from a drop in domestic demand, hopes to increase exports to China, the world's largest consumer and producer of the fuel.

"We expect to increase our coal exports to China and to countries in Southeast Asia by improving our port and rail infrastructure," Ivan Grachyov, chairman of the State Duma Committee for Energy, told reporters in a video conference on Thursday.

He said the government expects this year's coal shipments to China to reach 20 million metric tons, compared with about 19 million tons last year.