The price of the Brazilian high-grade iron ore, 65 percent iron contents, is $120/mt today, against $121/mt on 18 February, CFR China.
Such small decline reflects a recovery of shipments from the main iron ore producers, coupled to fears by market players that the increase of tariffs and legislation about steel imported from China, could result in reduced steel production in the country, negatively affecting its iron ore demand.
The export price of blast furnace grade pellets is now $138/mt against $139/mt previously, CFR China, reflecting a stable premium ascribed to the product in relation to the equivalent sinter feed fines.
The premium of the Brazilian high-grade ore, in relation to the Australian 62 percent iron ore, when considering their iron units, is 7.5 percent against 7.8 percent previously, still reflecting the interest, at such price level, by the integrated steel producers for the higher productivity and lower emissions of the premium ores when processed in blast furnaces.
In the Brazilian domestic market, the reference prices are $100/mt for the iron ore and $118/mt for the pellets against respectively $101/mt and $120/mt previously, ex-works, no taxes included.
In January, Brazil exported 28.929 million mt of iron ore (pellets excluded) and 2.060 million mt of pellets.
Preliminary numbers still indicate that the total exports of February will be lower, due to the reduced number of working days, as on a per-day basis shipments are currently higher than the average from January.