The price of Brazilian iron ore with a 65 percent iron content is now $117/mt, CFR China, comparable with $118/mt on 05 June, market insiders told SteelOrbis.
Sources said blast furnace maintenance in China between June 13 and 19 reduced pig iron production by an estimated 1.11 million mt, with further declines expected. This has weakened expectations for iron ore demand and put pressure on prices. Recently released weak economic data from China’s real estate sector has also weighed on market sentiment.
Blast furnace grade pellets are exported at $135/mt, against $136/mt previously, showing the same premium over same-grade sinter feed fines.
Market sources said the premium for Brazilian 65 percent iron ore over Australian 62 percent ore rose to 8.7 percent from 8.5 percent on an iron-unit basis, indicating strong demand for higher-grade material.
In the Brazilian domestic market, reference prices are unchanged at $77/mt for the ore and $95/mt for pellets, on an ex-works basis, no taxes included.
These prices were supported by lower freight rates between Brazil and China, since domestic prices are calculated on an FOB basis using CFR China as the benchmark.
According to brokers Banchero Costa, the Tubarão-Qingdao route, the reference for Brazil-China iron ore shipments, stands today at $36.50/mt, against $37.72/mt last week, remaining among the highest in recent years, and 48.4 percent above the same period in 2025, reflecting mostly higher bunker oil prices resulting from the conflict in the Middle East.
