Import iron ore prices in China move upwards

During the week ending June 13, prices of import iron ore for China have increased, 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 on a stable trend in Tangshan and 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 $112.9/mt at Qingdao port. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $109/mt and prices of the same material are at $105/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, iron ore futures prices at Dalian Commodity Exchange (DCE) have indicated strong rises, while iron ore inventory at Chinese ports has continued to decline, exerting a positive impact on import iron ore prices. However, steelmakers have started to become more reluctant to purchase iron ore due to the higher prices. Iron ore inventories at Chinese ports will likely increase in the near future, which will help stabilize import prices. It is expected that import iron ore prices will fluctuate within a limited range in the coming week.

Imported iron ore prices

The prices are deal prices in local market.   

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

Domestic iron ore prices in local Chinese market

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

$1 = 6.92 RMB