Chinese iron ore market shows some improvement

During the week ending March 1, the two-week downtrend in the Chinese iron ore market has halted and shifted to an uptrend instead. Import prices of iron ore from Australia, Brazil and India have all trended up, though prices of Indian material have risen by a relatively smaller margin. Meanwhile, domestic iron ore concentrate prices in Tangshan have indicated a slight uptrend, with concentrate prices in Beipiao remaining stable week on week.
 
At present, Indian fine ores of 63.5 percent grade are offered at $168.3/mt at Qingdao port, while Australian lump ores of 62 percent or 63 percent grade are priced at $171.4/mt. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $149.2/mt, and offers of similar material are at the level of $128.6/mt in Beipiao, both excluding VAT. Domestic and import iron ore prices in China can be viewed in the SteelOrbis price reports section.
 
The rebound in iron ore prices in China in the past week can be attributed principally to the rising prices of steel billet and the stable trend of finished steel prices. However, the steel mills are only purchasing in line with their needs. Overall, in the coming week iron ore prices in China are expected to trend up slightly.