Brazilian high-grade iron ore price shows sharp decline from last week

Monday, 06 January 2025 19:02:18 (GMT+3)   |   Sao Paulo

The price of the Brazilian high-grade iron ore, 65 percent iron contents, is $111/mt today, down from $115/mt on December 30, CFR China. 

It is the lowest quotation for the price of this iron ore grade since November 25, 2024.

The decline reflects a lower steel production pace in China, compensated in part by more solid economic data unveiled by the country’s authorities.

According to analysts, with the start of the Chinese New Year in four weeks, the restocking of the ore could give an additional support to iron ore prices during this month. 

The export price of blast furnace grade pellets is $128/mt, against $131/mt previously, CFR China, reflecting the same 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 9.7 percent, the highest in more than one month against 8.4 percent previously, 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 $92/mt for the iron ore and $108/mt for the pellets against respectively $95/mt and $112/mt previously, ex-works, no taxes included.


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