During the week ending November 12, prices of imported iron ore in China have mostly indicated a downtrend, though prices of some Indian ores have remained stable, while transaction activity for imported iron ore has generally been better compared to the previous week and is now at decent levels. At the same time, traders’ offers of domestic production iron ore in Tangshan have softened slightly, with prices of domestic production iron ore in Liaoning Province remaining stable, while overall demand for domestic production iron ore has been slacker than demand for imported iron ore.
At present, Indian fine ores of 63.5 percent grade are offered at $58.3/mt at Qingdao port. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $64.6/mt and prices of the same material are at $56.7/mt in Beipiao, Liaoning, both excluding VAT. Prices of domestic production and imported iron ore in China are presented in the following table.
During the given week, finished steel prices in China have indicated a downward trend, exerting a negative impact on iron ore prices. There have been relatively fewer inquiries for high Fe-content iron ore, resulting in declines in offer prices for such ore. After their low-volume purchasing activities in previous weeks, domestic steelmakers stepped up their purchases especially for lower Fe-content ores. It is thought that iron ore prices in the Chinese market will likely move sideways in the coming week.
Domestic iron ore prices in local Chinese market
| Product | Spec. | Place of Origin | Market price excluding tax (RMB/mt) | Price ($/mt) | Weekly Change (RMB/mt) |
| Domestic iron ore concentrate | damp base (iron content: 66%) | Tangshan | 410 | 65 | ↓10 |
| damp base (iron content: 66%) | Beipiao | 360 | 57 | 0 |
17 percent VAT is excluded in all prices and all prices are ex-warehouse.
Imported iron ore prices in local Chinese market
| Product Name | Name of Port | Iron Content % | Place of origin | Truck loaded price (RMB/mt) | Price($/mt) | Weekly Change (RMB/mt) |
| PB iron ore lump | Qingdao | 63/63.5 | Australia | 415-425 | 66-67 | ↓40 |
| Brazil fines | 63,5 | Brazil | 360-370 | 57-58 | ↓15 | |
| Yandi fines | 58 / 59 | Australia | 325-335 | 51-53 | ↓10 | |
| PB Fines | 62 | Australia | 385-395 | 61-62 | ↓10 | |
| PB iron ore lump | 61.5 | Australia | 350-360 | 55-57 | ↓5 | |
| Indian fine ore | 63.5 | India | 365-375 | 58-59 | 0 | |
| Indian fine ore | 63 | India | 355-365 | 56-58 | 0 | |
| Indian fine ore | 62 | India | 340-350 | 54-55 | ↓5 | |
| Indian fine ore | 61 | India | 325-340 | 51-54 | 0 | |
| Indian fine ore | 59 | India | 290-300 | 46-47 | ↓10 |
The prices are deal prices in local market.
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = RMB 6.37