The world's largest iron ore producer Brazil-based Vale S.A. (Vale) has announced that it has reached agreements on a new iron ore pricing regime with the majority of its clients, based on short-term market references and price changes on a quarterly basis.
The agreements, permanent or provisional, have reached 97 percent of Vale's client base, which corresponds to 90 percent of the sales volumes under contracts, the company said.
The structural change in iron ore pricing is consistent with Vale's previous announcements about the implementation of a new marketing policy, involving, among other issues, a more flexible approach towards pricing, the mining giant added.