CISA: Import iron ore prices in China to move at low levels

In March this year, import iron ore prices in China continued to indicate an overall decreasing trend due to rising inventory levels. It is expected that import iron ore prices in China will move at low levels in the coming period as oversupply will continue to prevail and as demand is unlikely to improve, as stated in a new report issued by the China Iron and Steel Association (CISA) on April 7. 
 
At the end of March this year, the China Iron Ore Price Index (CIOPI) stood at 197.49 points, down 32.71 points or 14.21 percent month on month. In particular, the domestic production iron ore price index stood at 226.05 points, down 3.22 points or 1.40 percent month on month, while the imported iron ore price index stood at 189.49 points, down 41.13 points or 17.83 percent month on month.
 
For the whole of March, the average China Iron Ore Price Index (CIOPI) was at 215.23 points, down 14.63 points or 6.36 percent month on month. In particular, the average domestic production iron ore price index was at 228.89 points, down 0.99 points or 0.43 percent, while the average imported iron ore price index stood at 211.41 points, down 18.45 points or 8.03 percent, both month on month.
 
Meanwhile, the composite steel price index (CSPI) for the Chinese domestic market was at 75.43 points at the end of March, up 0.37 points month on month, while down 19.40 points or 20.46 percent year on year. The CISA said that import iron ore prices in China are unlikely to see a rising trend in the coming period as China's finished steel prices are not likely to indicate significant increases given the conditions of oversupply, sluggish demand and fierce competition in the steel industry.