During the week ending April 7, prices of import iron ore in China have fluctuated, with rises seen in prices of iron ore from Brazil and Australia, though with either downticks or stable movement observed in prices of Indian ore. Transaction activity for import iron ore has been at decent levels. At the same time, traders’ offers of domestic production iron ore in Tangshan and Liaoning Province have moved on a stable trend, with transaction activity at decent levels.
At present, Indian fine ores of 63.5 percent grade are offered at $63.5/mt at Qingdao port. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $65/mt and prices of the same material are at $55.7/mt in Beipiao, Liaoning, both excluding VAT. Prices of domestic production and imported iron ore in China are presented in the following table.
During the given week, Chinese domestic prices of finished steel and semi-finished steel have indicated a slight uptrend, providing a certain degree of support for iron ore prices. However, domestic prices of finished steel and semi-finished steel are unlikely to indicate significant increases in the coming period. It is thought that iron ore prices in the Chinese market will likely move sideways in the week ahead.
Domestic iron ore prices in local Chinese market
Product | Spec. | Place of Origin | Market price excluding tax (RMB/mt) | Price ($/mt) | Weekly Change (RMB/mt) |
Domestic iron ore concentrate | damp base (iron content: 66%) | Tangshan | 420 | 65 | 0 |
damp base (iron content: 66%) | Beipiao | 360 | 56 | 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 | 515-525 | 80-82 | ↑10 |
Brazil fines | 63,5 | Brazil | 395-405 | 61-63 | 0 | |
Yandi fines | 58 / 59 | Australia | 365-375 | 57-58 | 0 | |
PB Fines | 62 | Australia | 505-515 | 78-80 | ↑10 | |
PB iron ore lump | 61.5 | Australia | 405-415 | 63-65 | ↑10 | |
Indian fine ore | 63.5 | India | 405-415 | 63-65 | ↓10 | |
Indian fine ore | 63 | India | 405-415 | 63-64 | 0 | |
Indian fine ore | 62 | India | 385-395 | 60-61 | ↓10 | |
Indian fine ore | 61 | India | 375-385 | 58-60 | 0 | |
Indian fine ore | 59 | India | 345-355 | 63-55 | 0 |
The prices are deal prices in local market.
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = RMB 6.47