During the week ending February 23, prices of import iron ore for China have indicated a slight rising trend, while transaction activity for import iron ore has been at low-to-medium levels. At the same time, traders’ offers of domestic production iron ore in Tangshan and Liaoning Province have also indicated an upward trend, with transaction activity for domestic production ore at medium levels.
At present, Indian fine ores of 63.5 percent grade are offered at $94.3/mt at Qingdao port. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $107/mt and prices of the same material are at $84.9/mt in Beipiao, Liaoning, both including VAT. Prices of domestic production and imported iron ore in China are presented in the following table.
During the given week, finished steel and semi-finished steel prices have continued their rising trend in the Chinese domestic market, exerting a positive impact on iron ore prices in the Chinese market. However, Chinese steelmakers’ purchases of import ore have slackened and, with prices of import iron ore moving up slightly, instead they have started to focus more on purchases of domestic production iron ore, providing a certain degree of support for domestic ore prices. Meanwhile, ferrous metal futures prices in China have moved on a soft trend in recent days, curbing speculative activity in the iron ore market. It is thought that iron ore prices in the Chinese market will likely move sideways or edge down slightly in the coming week.
Imported iron ore prices in local Chinese market
| Product Name | Name of Port | Iron Content % | Place of origin | Truck loaded price (RMB/mt) | Price($/mt) | Weekly Change (RMB/mt) |
| Newman iron ore lump | Qingdao | 63/63.5 | Australia | 735-745 | 107-108 | ↑10 |
| Brazil fines | 63,5 | Brazil | 675-685 | 98-99 | ↑10 | |
| Yandi fines | 58 / 59 | Australia | 585-595 | 85-86 | ↑10 | |
| PB fines | 61,5 | Australia | 685-695 | 99-101 | ↑10 | |
| PB iron ore lump | 62 | Australia | 715-725 | 104-105 | ↑10 | |
| Indian fine ore | 63,5 | India | 645-655 | 94-95 | ↑10 | |
| Indian fine ore | 63 | India | 635-645 | 92-93 | ↑10 | |
| Indian fine ore | 62 | India | 615-625 | 89-91 | ↑10 | |
| Indian fine ore | 61 | India | 595-605 | 86-88 | ↑10 | |
| Indian fine ore | 59 | India | 455-465 | 66-67 | ↑10 |
The prices are deal prices in local market.
17 percent VAT is included in all prices and all prices are ex-warehouse.
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 | 630 | 91 | ↑60 |
| damp base (iron content: 66%) | Beipiao | 500 | 72 | ↑30 |
17 percent VAT is excluded in all prices and all prices are ex-warehouse.
$1 = RMB 6.88