During the week ending September 22, prices of import iron ore for China have indicated diverse trends, with prices of Newman lump and Brazilian fines softening slightly, while Indian ore prices have risen slightly. Transaction activity for import iron ore has been at medium levels. At the same time, traders’ offers of domestic production iron ore in Tangshan and Liaoning Province have indicated a downtrend, with transaction activity for domestic production ore at low-to-medium levels.
At present, Indian fine ores of 63.5 percent grade are offered at $60.1/mt at Qingdao port. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $72.1/mt and prices of the same material are at $58.6/mt in Beipiao, Liaoning, both excluding VAT. Prices of domestic production and imported iron ore in China are presented in the following table.
During the given week, as the National Day Holiday (October 1-7) is approaching, Chinese steelmakers have stepped up their purchases of import iron ore, while steelmakers have been somewhat less interested in concluding purchases of domestic production iron ore. It is thought that iron ore prices in the Chinese market will likely move sideways in the coming week.
Domestic iron ore prices in local Chinese market
| Product | Spec. | Place of Origin | Market price excluding tax (RMB/mt) | Price ($/mt) | Weekly Change (RMB/mt) |
| Domestic iron ore concentrate | damp base (iron content: 66%) | Tangshan | 480 | 72 | ↓20 |
| damp base (iron content: 66%) | Beipiao | 390 | 58 | ↓10 |
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 | 535-545 | 80-82 | ↓10 |
| Brazil fines | 63,5 | Brazil | 415-425 | 62-64 | ↓10 | |
| Yandi fines | 58 / 59 | Australia | 365-375 | 55-56 | ↑10 | |
| PB Fines | 62 | Australia | 525-535 | 79-80 | 0 | |
| PB iron ore lump | 61.5 | Australia | 425-435 | 64-65 | 0 | |
| Indian fine ore | 63.5 | India | 395-405 | 59-61 | ↑10 | |
| Indian fine ore | 63 | India | 385-395 | 58-59 | ↑10 | |
| Indian fine ore | 62 | India | 375-385 | 56-58 | ↑10 | |
| Indian fine ore | 61 | India | 365-375 | 55-56 | ↑10 | |
| Indian fine ore | 59 | India | 335-345 | 50-52 | ↑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 6.67