Iron ore prices in China have indicated slight declines in the past week, reflecting weakening demand for the raw material and a lack of support from the steel market.
On December 11, the price for ex-Australia iron ore fines with 62 percent Fe content has settled at $104.65/mt CFR, down slightly by $0.2/mt from December 10, but down more significantly over the past week, by $1.5/mt. At the same time, the price for fines with 65 percent Fe content has declined by $0.15/mt from yesterday, to $117.45/mt CFR, $1.35/mt lower than a week ago.
17 deals totaling 519,000 mt of iron ore have been signed at the Corex platform on December 11. In particular, 170,000 mt of 65 percent Fe Carajas fines were transacted at $117.45/mt CFR, for delivery on December 6, and 30,000 mt of 56.45 percent Fe FMG ultra fines were sold at RMB 693/mt ($98/mt), for delivery at Tianjin port.
On December 11, Corex’s Iron Ore Portside Index (61% Fe Qingdao) and Iron Ore Portside Index (61% Fe Caofeidian) are at RMB 779/wmt and RMB 792/wmt, with USD/dmt equivalents standing at $102.92 and $104.34.
In the given week, import iron ore prices in the Chinese market have edged down amid decreasing molten iron outputs and increasing ore inventories. Both the demand and supply of finished steel have shrunk, while the declines in production have been bigger than those in demand. Deliveries of iron ore at ports may decrease slightly in the coming week, which may bolster prices to a certain degree. It is expected that import iron ore prices will likely edge down further in the coming week as levels above $105/mt CFR were damaging mills’ profitability.
Iron ore futures prices at Dalian Commodity Exchange have decreased by 1.3 percent today to RMB 757/mt ($107/mt) compared to the previous trading day, December 10, while decreasing by 4.7 percent compared to December 4.
As of December 11, rebar futures at Shanghai Futures Exchange are standing at RMB 3,069/mt ($433.5/mt), decreasing by RMB 106/mt ($15/mt) or 3.3 percent since December 4, while down 1.32 percent compared to the previous trading day, December 10.
Imported iron ore prices in China (week-on-week basis)
| Product name | Iron Content |
Truck loaded price (RMB/mt) |
Change (RMB/mt) |
Price ($/mt) |
Change ($/mt) |
| Newman iron ore lump | 63/63.5 | 857 | -7 | 121.2 | -0.9 |
| Yandi fines | 58 / 59 | 774 | -6 | 109.5 | -0.8 |
| PB Fines | 62 | 788 | -6 | 111.5 | -0.8 |
| PB iron ore lump | 62/63 | 867 | -5 | 122.6 | -0.6 |
| Brazil fines | 63 | 826 | -3 | 116.8 | -0.4 |
Price includes VAT.
Nationwide iron ore concentrate prices (66 percent Fe)
| Place of origin | Market price （RMB/mt, Incl. VAT) | Change (RMB/mt) |
Price（$/mt) | Change ($/mt) |
| Tangshan | 885 | -21 | 125 | -3 |
| Beipiao | 853 | -6 | 121 | -1 |
Price includes VAT.
$1 = RMB 7.0686