Iron ore prices in China have seen rises in the past week even despite news about fresh steel production cuts in China but further rises in iron ore may be capped by low profits of mills.
On October 30, the price for ex-Australia iron ore fines with 62 percent Fe content was at $106.8/mt CFR, down by $0.5/mt from the previous day, but increasing by $1.8/mt over the past week. Ex-Brazil fines with 65 percent Fe content are at $121.2/mt CFR, $0.7/mt lower from October 29, but $1.3/mt higher from last week.
13 deals totaling 146,800 mt of iron ore have been signed at the Corex platform on October 30. In particular, 20,000 mt of 61.31 percent Fe PB fines were traded at RMB 805/mt ($113.4/mt), delivery at Lianyungang port, 10,000 mt of 63.46 percent Fe PB fines transacted at RMB 808/mt ($113.8/mt), delivery at Rizhao port.
On October 30, Corex’s Iron Ore Portside Index (61% Fe Qingdao) and Iron Ore Portside Index (61% Fe Caofeidian) stand at RMB 799/wmt and RMB 807/wmt, with $/dmt equivalence standing at $104.87 and $105.6.
During the given week, iron ore prices in the Chinese market indicated increases amid the rising futures prices. But finished steel prices have decreased continuously in the previous weeks, resulting in expanding loss among steelmakers, which exerted a negative impact on the demand for iron ore. Inventories of iron ore at ports increased, weakening the support to its prices. As for the coming week, the delivery of seaborne iron ore is expected to decline, which might bolster its prices. However, the strict environmental protection in several cities of Hebei province might reduce the molten iron output in the coming period. It is expected that iron ore prices may fluctuate within a limited range in the coming week.
Iron ore futures prices at Dalian Commodity Exchange have increased by 0.38 percent today to RMB 802.5/mt ($113/mt) compared to the previous trading day, October 29, while increasing by 3.3 percent compared to October 23.
As of October 30, rebar futures at Shanghai Futures Exchange are standing at RMB 3,106/mt ($437.5/mt), increasing by RMB 35/mt ($4.9/mt) or 1.1 percent since October 23, while down 0.38 percent compared to the previous trading day, October 29.
Imported iron ore prices in China (week-on-week basis)
| Product name | Iron Content |
Truck loaded price (RMB/mt) |
Change (RMB/mt) |
Price ($/mt) |
Change ($/mt) |
| Newman iron ore lump | 63/63.5 | 915 | 13 | 129.1 | 1.9 |
| Yandi fines | 58 / 59 | 791 | 24 | 111.6 | 3.5 |
| PB Fines | 62 | 805 | 24 | 113.6 | 3.5 |
| PB iron ore lump | 62/63 | 920 | 10 | 129.8 | 1.5 |
| Brazil fines | 63 | 843 | 27 | 119.0 | 3.9 |
Price includes VAT.
Nationwide iron ore concentrate prices (66 percent Fe)
| Place of origin | Market price （RMB/mt, Incl. VAT) | Change (RMB/mt) |
Price（$/mt) | Change ($/mt) |
| Tangshan | 935 | 16 | 132 | 2 |
| Beipiao | 859 | 11 | 121 | 2 |
Price includes VAT.
$1 = RMB 7.0864