During the week ending August 6, prices of imported iron ore in China have continued their overall rebounding trend, while transaction activity for imported iron ore has been at decent levels. At the same time, traders’ offers of domestic production iron ore in Tangshan and Liaoning Province have been stable, while overall demand for domestic production iron ore has been sluggish.
At present, Indian fine ores of 63.5 percent grade are offered at $67.7/mt at Qingdao port. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $71/mt and prices of the same material are at $59.7/mt in Beipiao, Liaoning, both excluding VAT. Prices of domestic production and imported iron ore in China are presented in the following table.
During the given week, the upward movement in domestic finished steel and semi-finished steel prices was the main reason for the increase seen in prices of imported iron ore in China. Meanwhile, iron ore traders and miners have been seeking to increase their spot iron ore prices amid the ongoing rises observed in the iron ore futures market. Finished steel prices in the Chinese domestic market will likely continue their rising trend in the coming period, thereby providing support for iron ore prices. It is expected that import iron ore prices in the Chinese market will continue to move upwards in the coming week.
Domestic iron ore prices in local Chinese market
| Product | Spec. | Place of Origin | Market price excluding tax (RMB/mt) | Price ($/mt) | Weekly Change (RMB/mt) |
| Domestic iron ore concentrate | damp base (iron content: 66%) | Tangshan | 440 | 71 | 0 |
| damp base (iron content: 66%) | Beipiao | 370 | 60 | 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 | 540-560 | 87-90 | ↑10 |
| Brazil fines | 63,5 | Brazil | 430-450 | 69-72 | ↑30 | |
| Yandi fines | 58 / 59 | Australia | 390-410 | 63-66 | ↑10 | |
| PB Fines | 62 | Australia | 450-470 | 72-76 | ↑10 | |
| PB iron ore lump | 61.5 | Australia | 410-420 | 66-68 | ↑20 | |
| Indian fine ore | 63.5 | India | 410-420 | 66-68 | ↑10 | |
| Indian fine ore | 63 | India | 410-430 | 66-69 | ↑20 | |
| Indian fine ore | 62 | India | 390-410 | 63-66 | ↑20 | |
| Indian fine ore | 61 | India | 380-400 | 61-64 | ↑20 | |
| Indian fine ore | 59 | India | 360-380 | 58-61 | ↑20 |
The prices are deal prices in local market.
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = RMB 6.21