ALL of the block reward and fees come from newly minted coins.
Uh...Would you care to explain please? Mining fees are payed from the inputs of the transaction. I am not that certain about the details of the protocol, but I do assume that these coins are funded to the miner's address with only one coinbase transaction that doesn't reference these inputs. So in a way, I would understand if that was what you meant, but the coins still practically from those old inputs.
Increasing fees (readjust the balance as you say) harms the mining industry because fewer people are willing to use bitcoin.
When I said "readjust the balance", I was referring to decrease of hashpower, not increase in fees, so I am not sure what you mean by this.
The balance I was referring to is the amount of hashpower that will be there in Bitcoin. If there are no transactions mining would go on, as miner's would still get the block reward, it is just that the hashpower will decrease.
And about the amount of people using Bitcoin and that harming miner's. well of course, this is the indirect factor I wasn't referring to.
If you have less transactions, it means you likely have less users, which means price of BTC goes down, which means the block reward is smaller.
But this is obvious and not something on a technical level that I was discussing.