Shares in Australian coal miners fell on Friday amid broad weakness in the resources sector, but losses eased in afternoon trade.
While the local officials acted on the order in various ways, the general effect was to extend clearance for Australian coal to more than 40 days.
Some investors linked the restrictions to China's trade war with the US.
"The objective of this is to better maintain Chinese import enterprises' legitimate rights and interests and to ensure environmental safety", Geng said.
Looking ahead to next week's session, the Pound Australian Dollar (GBP/AUD) exchange rate, is expected to be met by fresh volatility as the House of Commons holds its latest Brexit vote on Wednesday.
Last year, around 7 million tonnes of Australian coal went through the Dalian ports, so the threatened 12 million tonne quota may not stifle trade in the longer term.
Australia banned Huawei in August past year, recently revoked the permanent residency of a Chinese billionaire over concerns that he's an agent of influence and is pressing the Chinese for access to Australian citizens and permanent residents held in prison or trapped in Xinjiang.More news: IS teen asks United Kingdom to show 'more mercy'
In the commodity market, crude prices rose more than 1 percent on Wednesday to their highest in 2019 on hopes that oil markets will balance later this year.
CURRENCY: The Australian dollar has recovered after falling against the U. China is expected to agree to buy more United States goods as part of a deal being brokered by negotiators in Washington this week.
"There are a number of things happening in China relating to, how they plan, and moderate, if you like, imports versus their own domestic production", Mr Mackenzie said.
Dr Lowe said the Chinese coal industry was not particularly profitable and there could also be some changes for environmental reasons.
Earlier this week, top coking coal exporter BHP said that China's import policies remained a source of uncertainty for the market. He understood that the amount being blocked was equivalent to two months' worth of exports.
"There's a bit of a political issue" related to delays processing Australian coal cargoes, Glencore's CEO Ivan Glasenberg told analysts on Wednesday after the release of t he compa ny's f i na ncial results.
"We should be in a better position by this time tomorrow because the Chinese realise that this is a very significant issue and they probably don't want to see it on the front pages any more than we do".
Markets are spooked that it could be the start of more widespread import curbs against Australia, which counts China as its biggest trading partner.