The liquid products of low-temperature carbonisation of coal are of variable composition, very much influenced by the rank and type of coal, and process parameters. In general the tar contains a high proportion of phenols and a low proportion of bases. The neutral oil is more analogous to a thermally cracked petroleum oil than to a high temperature tar. Present practice and possible future trends in the production of chemicals and liquid fuels from low temperature tar are reviewed in the light of recent work on the detailed composition of the tar The phenols and aromatics will probably continue to be of most value, with the bases a useful source of spec- ialty products. However the high aliphatic content of the neutral oil (particularly 1-olefins and n-paraffins) is bound to receive more attention for chemicals as well as for liquid Fuels.