Iron ore prices edge upward in China

Thursday, 01 September 2011 14:17:21 (GMT+3)   |  
 

The imported iron ore market in China has risen slightly in the past week. Quoted prices from traders are relatively high and there is not much willingness to decrease prices, and so steel mills are not so eager to conclude purchases. Low grade iron ore supplies are few, while supplies of high grade materials are more plentiful. The trade volume has not shown any improvement. With the influence of costs and slackness of steel sales, the steel mills are trying to keep their inventories at low levels in order to avoid risks. 

Imported iron ore prices

Product name

Port

Iron
content

Place of origin

Truck-loaded price
(RMB/mt)

Change
(RMB/mt)

Price
($/mt)

Newman ore

Qingdao

62/63

Australia

1,420

10

222.9

Carajas fines

66/67

Brazil

1,460

10

229.2

Yandi fines

58 / 59

Australia

1,180

10

185.2

MAC fines

62

Australia

1,270

10

199.4

PB fines

62/63

Australia

1,380

10

216.6

Indian fine ore

63.5

India

1,350

20

211.9

Indian fine ore

63

India

1,320

20

207.2

Indian fine ore

62

India

1,260

20

197.8

Indian fine ore

61

India

1,220

20

191.5

Indian fine ore

59

India

1,120

20

175.8

The prices of most grades of imported iron ore have risen by $1.56/mt week on week. The loaded-truck price of 63.5 percent Indian iron ore is reported at $211.9/mt.

As for domestic iron ore, the offered price of 66 percent iron ore concentrate is at $166.4/mt in Tangshan, same as last week, and stands at $160.2/mt in Beipiao, increasing by $3.13/mt week on week.

Nationwide iron ore concentrate prices

 

Product

Specification

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

1,165

183

+100

damp base (iron content: 66%)

Beipiao

1,025

161

+15

The domestic steel markets in China are expected to see some improvement in the remainder of the current year, with increased construction activity foreseen. Accordingly, domestic iron ore demand is also expected to increase. In the short term, the iron ore market in China is likely to follow a fluctuating upward trend.  


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