During the week ending January 19, prices of import iron ore for China have indicated a rising trend, while transaction activity for import iron ore has been at low levels. At the same time, traders’ offers of domestic production iron ore have indicated an upward trend in Tangshan, while remaining stable in Liaoning Province, with transaction activity for domestic production ore at medium levels.
At present, Indian fine ores of 63.5 percent grade are offered at $85.6/mt at Qingdao port. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $93.4/mt and prices of the same material are at $78.1/mt in Beipiao, Liaoning, both including VAT. Prices of domestic production and imported iron ore in China are presented in the following table.
During the week in question, prices of finished steel and steel billet in China have followed a rising trend, providing support for the upward movement of import iron ore prices. Sentiment in the market has improved, with miners and traders currently optimistic as regards the future prospects for the iron ore market. However, demand is not expected to increase significantly with the approach of the Chinese New Year holiday (January 27-February 2). It is thought that iron ore prices in the Chinese market will likely remain stable in the coming week.
Domestic iron ore prices in local Chinese market
| Product | Spec. | Place of Origin | Market price excluding tax (RMB/mt) | Price ($/mt) | Weekly Change (RMB/mt) |
| Domestic iron ore concentrate | damp base (iron content: 66%) | Tangshan | 550 | 80 | ↑20 |
| damp base (iron content: 66%) | Beipiao | 460 | 67 | 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) |
| Newman iron ore lump | Qingdao | 63/63.5 | Australia | 675-685 | 98-100 | ↑20 |
| Brazil fines | 63,5 | Brazil | 635-645 | 92-94 | ↑20 | |
| Yandi fines | 58 / 59 | Australia | 545-555 | 79-81 | ↑20 | |
| PB fines | 61,5 | Australia | 635-645 | 92-94 | ↑20 | |
| PB iron ore lump | 62 | Australia | 665-675 | 97-98 | ↑20 | |
| Indian fine ore | 63,5 | India | 585-595 | 85-87 | ↑50 | |
| Indian fine ore | 63 | India | 575-585 | 84-85 | ↑50 | |
| Indian fine ore | 62 | India | 555-565 | 81-82 | ↑50 | |
| Indian fine ore | 61 | India | 535-545 | 78-79 | ↑50 | |
| Indian fine ore | 59 | India | 405-415 | 59-60 | 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 6.87