During the week ending October 22, prices of imported iron ore in China have mostly indicated a slight downtrend, while transaction activity for imported iron ore has been at decent levels. At the same time, traders' offers of domestic production iron ore in Tangshan have softened, though remaining stable in Liaoning Province, while overall demand for domestic production iron ore has been slacker than in the previous week.
At present, Indian fine ores of 63.5 percent grade are offered at $65.5/mt at Qingdao port. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $67.9/mt and prices of the same material are at $56.9/mt in Beipiao, Liaoning, both excluding VAT. Prices of domestic production and imported iron ore in China are presented in the following table.
During the given week, steelmakers have reduced their purchase prices for iron ore amid pessimism regarding the prospects for the finished steel market. Currently, small steelmakers have cut their production outputs, while some reports indicate that medium-sized and large steelmakers also have plans to cut production. Reduced steel production may exert downward pressure on iron ore prices. It is expected that iron ore prices in the Chinese market will continue their slight downtrend in the coming week.
Domestic iron ore prices in local Chinese market
Product |
Spec. |
Place of Origin |
Market price excluding tax (RMB/mt) |
Price ($/mt) |
Weekly Change (RMB/mt) |
Domestic iron ore concentrate |
damp base (iron content: 66%) |
Tangshan |
430 |
68 |
↓10 |
damp base (iron content: 66%) |
Beipiao |
360 |
57 |
0 |
17 percent VAT is excluded in all prices and all prices are ex-warehouse.
Imported iron ore prices in local Chinese market
| Product Name | Name of Port | Iron Content % | Place of origin | Truck loaded price (RMB/mt) | Price($/mt) | Weekly Change (RMB/mt) |
| PB iron ore lump | Qingdao | 63/63.5 | Australia | 540-555 | 85-87 | ↓15 |
| Brazil fines | 63,5 | Brazil | 415-435 | 65-69 | ↓10 | |
| Yandi fines | 58 / 59 | Australia | 375-385 | 59-61 | ↓10 | |
| PB Fines | 62 | Australia | 435-445 | 69-70 | ↓15 | |
| PB iron ore lump | 61.5 | Australia | 405-415 | 64-65 | ↓10 | |
| Indian fine ore | 63.5 | India | 410-420 | 65-66 | ↓15 | |
| Indian fine ore | 63 | India | 405-415 | 64-65 | ↓10 | |
| Indian fine ore | 62 | India | 385-400 | 61-63 | ↓10 | |
| Indian fine ore | 61 | India | 375-385 | 59-61 | ↓10 | |
| Indian fine ore | 59 | India | 370-380 | 58-60 | 0 |
The prices are deal prices in local market.
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = RMB 6.35