Iron ore prices in China have posted small decline today but edged up over the past week amid stronger demand. Restocking is expected to continue in the near future ahead of May holiday, which will keep gradually support prices.
Iron ore with 62 percent Fe content has been priced at $109.45/mt CFR, down by $0.3/mt over a day, but $0.85/mt up over a week. This is much slower than $2.65/mt increase last week, but the most important thing is that the trend continues. Prices for fines with 65 percent Fe content have been at $125.55/mt CFR, declining by $0.25/mt from yesterday, though it is up $0.55/mt compared to last week.
Demand has been rather firm lately. 42 deals of 686,100 mt were signed at Corex platform on April 23, which is stably high compared to a sales volume of 631,700 mt a day earlier. Today, a deal for 170,000mt of 61 percent PB fines was done at June 61% Fe fines index +$1.3/mt for shipment during May 31-June 9.
On April 23, Corex’s Iron Ore Portside Index (61% Fe Qingdao) and Iron Ore Portside Index (61% Fe Caofeidian) are at RMB 771/wmt and RMB 784/wmt, with USD/dmt equivalence standing at $105.07 and $106.22.
During the given week, import iron ore prices have edged up amid the low resources arriving at ports and the increasing molten iron outputs. Inventories of iron ore decreased significantly, bolstering its prices firmly. Total port stocks fell to 165-167 million mt in the second half of April from a 170-171 million mt high seen in March.
The molten iron outputs are expected to increase in the coming week, which will exert a positive impact on iron ore prices. Meanwhile, since the Labor Day holiday (May 1-5) is approaching, the inventory restocking from downstream users is expected to continue, which will positively affect the iron ore prices. It is expected that iron ore prices in the Chinese market will keep moving up, while the extent of the price increase remains to be seen.
Iron ore futures prices at Dalian Commodity Exchange have decreased by 0.32 percent today to RMB 783.5/mt ($114.2/mt) compared to the previous trading day, April 22, while rose by 0.13 percent compared to April 16.
As of April 23, rebar futures at Shanghai Futures Exchange are standing at RMB 3,181/mt ($464/mt), increasing by RMB 48/mt ($7.0/mt) or 1.5 percent since April 16, while up 0.09 percent compared to the previous trading day, April 22.
Imported iron ore prices in China (week-on-week basis)
| Product name | Iron Content |
Truck loaded price (RMB/mt) |
Change (RMB/mt) |
Price ($/mt) |
Change ($/mt) |
| Newman iron ore lump | 63/63.5 | 912 | 14 | 132.8 | 2.0 |
| Yandi fines | 58 / 59 | 765 | 7 | 111.4 | 1.0 |
| PB Fines | 62 | 779 | 7 | 113.5 | 1.0 |
| PB iron ore lump | 62/63 | 922 | 10 | 134.3 | 1.4 |
| Brazil fines | 63 | 815 | 7 | 118.7 | 1.0 |
Price includes VAT.
Nationwide iron ore concentrate prices (66 percent Fe)
| Place of origin | Market price （RMB/mt, Incl. VAT) | Change (RMB/mt) |
Price（$/mt) | Change ($/mt) |
| Tangshan | 881 | 11 | 128 | 2 |
| Beipiao | 848 | 6 | 124 | 1 |
Price includes VAT.
$1 = RMB 6.865
