Australia-based Macquarie Group - a global provider of banking, financial, advisory, investment and fund management services - has said that China's iron ore output will decline over the next 10 years. China's annual domestic output of 62 percent grade iron ore will decrease from the current 333 million mt to 202 million mt by 2016, Macquarie Group stated.
Macquarie also said that the cost of Chinese iron ore is high, having increased from $85/mt in 2008 to $136/mt at present, while it is expected to rise to $150/mt next year.