Inventory replenishment provides support for import iron ore prices for China

Friday, 08 January 2016 12:21:19 (GMT+3)   |   Shanghai
       

During the week ending January 7, prices of import iron ore in China have continued their upward trend, though some import iron ore prices have remained unchanged, while transaction activity for import iron ore has been better compared to the previous week, though still remaining at low levels. At the same time, traders’ offers of domestic production iron ore in Liaoning Province have indicated a slight rising trend, though prices in Tangshan have moved on a stable trend, while overall demand for domestic production iron ore has improved compared to the previous week.
 
At present, Indian fine ores of 63.5 percent grade are offered at $52.6/mt at Qingdao port. Meanwhile, quotations of 66 percent iron ore concentrate in Tangshan stand at $44.2/mt and prices of the same material are at $48.8/mt in Beipiao, Liaoning, both excluding VAT. Prices of domestic production and imported iron ore in China are presented in the following table.

After their previous increases, iron ore prices have shown signs of suspending their rising movement, with some import iron ore prices starting to move on stable trends. Steelmakers’ inventory replenishments have resulted in import iron ore purchase volumes. Meanwhile, steelmakers have also stepped up their purchases of domestic production iron ore, resulting in upticks in prices in Tangshan. 

Although steelmakers’ inventory replenishments will provide support for iron ore prices, sentiment among market participants has weakened. It is expected that iron ore prices in the Chinese market will move sideways 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 310 47 ↑10
damp base (iron content: 66%) Beipiao 290 44 -
 
 
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 375-390 57-60 ↑10
Brazil fines 63,5 Brazil 320-330 49-50 0
Yandi fines 58 / 59 Australia 300-310 46-47 0
PB Fines 62 Australia 365-375 56-57 ↑10
PB iron ore lump 61.5 Australia 315-325 46-50 0
Indian fine ore 63.5 India 340-350 52-54 ↑10
Indian fine ore 63 India 330-340 50-52 ↑10
Indian fine ore 62 India 315-325 48-50 ↑10
Indian fine ore 61 India 300-310 46-48 ↑10
Indian fine ore 59 India 270-280 41-43 ↑10
 
The prices are deal prices in local market.                                          
 
17 percent VAT is included in all prices and all prices are ex-warehouse.

$1 = RMB 6.59 


Similar articles

India’s NMDC Limited reports 1% fall in iron ore output in April

03 May | Steel News

ArcelorMittal sees lower net profit and sales revenues in Q1

02 May | Steel News

Daily iron ore prices CFR China - April 30, 2024

30 Apr | Scrap & Raw Materials

Raw Material Suppliers at IREPAS: General market mood hopeful for improvement

30 Apr | Steel News

Daily iron ore prices CFR China - April 29, 2024

29 Apr | Scrap & Raw Materials

India’s SMIOL to ramp up manganese and iron ore mining capacities

29 Apr | Steel News

India’s NMDC hikes prices of iron ore lumps and fines with immediate effect

29 Apr | Scrap & Raw Materials

Brazilian high-grade iron price increases

26 Apr | Scrap & Raw Materials

Daily iron ore prices CFR China - April 26, 2024

26 Apr | Scrap & Raw Materials

Major steel and raw material futures prices in China - Apr 26, 2024

26 Apr | Longs and Billet