Rio Tinto expects recovery in Chinese demand
The world's second largest iron ore producer Rio Tinto Group announced that the company was expecting a rebound in Chinese demand for the iron ore due to the declining inventories of the steelmakers in the country. Iron ore imports to China fell to 21.8 million metric tons in May following the government's 8% tariff on iron ore imports and restricting the number of companies importing the commodity. The company claimed that the current slowdown in China's demand was a temporary situation. Rio Tinto Group also recently announced about a 50% share purchase from Western Australian Hope Downs iron ore mine for $402 million.