Iron ore prices for China relatively stable, demand mostly for material at ports

Iron ore prices for China have stayed almost stable today, October 24, with only a $0.1/mt increase seen in the market today. Customers have been mostly reluctant to purchase iron ore in the seaborne market and have been buying only from Chinese ports as there have been concerns over iron ore consumption in the near future due to steel production restrictions. Prices for fines with 62 percent Fe content have increased slightly by $0.1/mt to $87.1/mt CFR, while Brazilian fines with 65 percent Fe have inched up by the same margin to $94.3/mt CFR, SteelOrbis has learned.

There has been no information about trades at platforms and tenders today. At the same time, trading has been mainly at ports, where prices for Pilbara fines with 62 percent Fe content have been lower than last week, now standing at RMB 680/mt ($96.1/mt) FOT Qingdao.

Iron ore futures at Dalian Commodity Exchange have added RMB 6/mt ($0.8/mt) today, coming to RMB 628/mt ($88/mt).

Tangshan has ordered steel producers to stop sintering machines and transportation over October 22-24, trying to improve air quality. In fact, iron ore consumption has been lower this week, and so most market sources are not so optimistic on the future trend for the raw material market. However, if steel prices improve in the near future in response to many new infrastructure projects in several provinces in China, iron ore prices may gain some support.

Imported iron ore prices (week-on-week basis)

Note：Price includes VAT.

Nationwide iron ore concentrate prices

Note：Price includes VAT. 

$1 = RMB 7.0727