Import iron ore prices for China edge up slightly

As of May 17, prices of import iron ore for China have indicated slight rises on week-on-week basis, while transaction activity for import iron ore in the past week has been at low-to-medium levels. At the same time, traders’ offers of domestic production iron ore have moved up in Tangshan, though remaining stable in Liaoning Province, with overall transaction activity for domestic production ore at low-to-medium levels. 

At present, Indian fine ores of 63.5 percent grade are offered at $71.7/mt at Qingdao port. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $87/mt and prices of the same material are at $84/mt in Beipiao, Liaoning, both including VAT. Prices of domestic production and imported iron ore in China are presented in the following table.

During the given week, import iron ore prices for China have risen slightly as blast furnaces’ capacity utilization rates in the country have increased. However, import iron ore supply has been increasing trend, which may exert a negative impact on import iron ore price in the coming period. It is thought that import iron ore prices in the Chinese market will move sideways in the week ahead.

Imported iron ore prices

The prices are deal prices in local market.  

16 percent VAT is included in all prices and all prices are ex-warehouse.

Domestic iron ore prices in local Chinese market

 16 percent VAT is excluded in all prices and all prices are ex-warehouse.

$1 = RMB 6.37