During the week ending March 23, prices of import iron ore for China have indicated a declining trend, while transaction activity for import iron ore has been at medium levels. At the same time, traders’ offers of domestic production iron ore have indicated a soft trend in Tangshan, while remaining stable in Liaoning Province, with transaction activity for domestic production ore at medium levels.
At present, Indian fine ores of 63.5 percent grade are offered at $90.2/mt at Qingdao port. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $112/mt and prices of the same material are at $95/mt in Beipiao, Liaoning, both excluding VAT. Prices of domestic production and imported iron ore in China are presented in the following table.
With production restrictions coming to an end after China’s 12th National People's Congress, blast furnace capacity utilization rates have increased, resulting in improved transaction activities compared to the previous week. Meanwhile, most market players are still upbeat on the future prospects for the iron ore market. It is thought that iron ore prices in the Chinese market will likely move sideways in the coming week.
Imported iron ore prices in local Chinese market
| Product Name | Name of Port | Iron Content % | Place of origin | Truck loaded price (RMB/mt) | Price($/mt) | Weekly Change (RMB/mt) |
| Newman iron ore lump | Qingdao | 63/63.5 | Australia | 690-700 | 100-102 | ↓15 |
| Brazil fines | 63,5 | Brazil | 650-660 | 94-96 | ↓15 | |
| Yandi fines | 58 / 59 | Australia | 550-560 | 80-81 | ↓25 | |
| PB fines | 61,5 | Australia | 650-660 | 94-96 | ↓25 | |
| PB iron ore lump | 62 | Australia | 680-690 | 99-100 | ↓5 | |
| Indian fine ore | 63,5 | India | 615-625 | 89-91 | ↓10 | |
| Indian fine ore | 63 | India | 605-615 | 88-89 | ↓10 | |
| Indian fine ore | 62 | India | 585-595 | 85-86 | ↓10 | |
| Indian fine ore | 61 | India | 565-575 | 82-83 | ↓10 | |
| Indian fine ore | 59 | India | 400-410 | 58-59 | ↓35 |
The prices are deal prices in local market.
17 percent VAT is included in all prices and all prices are ex-warehouse.
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 | 660 | 96 | ↓25 |
| damp base (iron content: 66%) | Beipiao | 560 | 81 | 0 |
17 percent VAT is excluded in all prices and all prices are ex-warehouse.
$1 = RMB 6.89