Iron ore prices in China have moved up over the past week amid stable demand, rising freight costs and bullish sentiments, connected with the possible decline in supply from BHP Billiton.
On March 12, the price for ex-Australia iron ore fines with 62 percent Fe content has settled at $109.6/mt CFR, up by $2.7/mt from the previous day and up $6.4/mt week on week. The pace of the increase has accelerated compared to the first week of March when there was a price rise of less than $2/mt. Fines with 65 percent Fe content are priced at $127.6/mt CFR, up $2.8/mt from the previous day and up $8.2/mt week on week.
34 deals totaling 358,000 mt of iron ore have been signed at the Corex platform on March 12. In particular, 20,000 mt of 56.77 percent Fe FMG ultra fines were transacted at RMB 664/mt ($96.2/mt), for delivery at Jingtang port, 20,000 mt of 62 percent Fe lump were sold at RMB 878/mt ($127.2/mt), for delivery to Rizhao port, while 15,360 mt of 58.13 percent Fe FB fines were transacted at RMB 712/mt ($103.2/mt), for delivery at Jingtang port.
On March 12, Corex’s Iron Ore Portside Index (61% Fe Qingdao) and Iron Ore Portside Index (61% Fe Caofeidian) are at RMB 782/wmt and RMB 797/wmt, with the USD/dmt equivalents standing at $106.05 and $107.47.
As announced today, March 12, BHP workers in the Pilbara region have initiated voting on a strike, which might reduce the supply of seaborne iron ore and bolster prices.
This is not the only news connected with BHP Billiton today. China Mineral Resources Group (CMRG), the state-owned iron ore trading arm, has sent a notice to major Chinese steel mills that they will have to stop accepting delivery of Newman fines from late next week. This is one of the most popular brands produced by BHP Billiton with 62.5 percent Fe content. This follows the previous ban of Jimblebar and Jinbao fines, in September and November 2025, respectively. Late last year, BHP managed to redirect volumes of these grades to other countries, mainly in Southeast Asia. This time the implications will be more serious as the volume of Newman fines traded to China is bigger and traders have already started to sell off volumes at Chinese ports. Though CMRG is aiming to gain more pricing power in long-term agreements with large Australian miners, with BHP in particular, in the previous rounds of negotiations it managed to get limited concessions from BHP.
Meanwhile, transportation and logistics have been negatively affected by the war in the Middle East, which will also provide support for iron ore prices. At the same time, demand for iron ore from downstream users in China is expected to recover in the traditional peak season of March. It is expected that iron ore prices in the Chinese market will move up further in the coming week.
Iron ore futures prices at Dalian Commodity Exchange have risen by 1.34 percent today to RMB 795.5/mt ($115.3/mt) compared to the previous trading day, March 11, while increasing by 4.8 percent compared to March 5.
As of March 12, rebar futures at Shanghai Futures Exchange are standing at RMB 3,120/mt ($452/mt), increasing by RMB 45/mt ($6.5/mt) or 1.5 percent since March 5, while up 0.42 percent compared to the previous trading day, March 11.
Imported iron ore prices in China (week-on-week basis)
| Product name | Iron Content |
Truck loaded price (RMB/mt) |
Change (RMB/mt) |
Price ($/mt) |
Change ($/mt) |
| Newman iron ore lump | 63/63.5 | 886 | +4 | 128.5 | +0.7 |
| Yandi fines | 58/59 | 765 | +12 | 110.9 | +1.8 |
| PB Fines | 62 | 779 | +12 | 113.0 | +1.8 |
| PB iron ore lump | 62/63 | 890 | +10 | 129.1 | +1.5 |
| Brazil fines | 63 | 802 | +4 | 116.3 | +0.7 |
Price includes VAT.
Nationwide iron ore concentrate prices (66 percent Fe)
| Place of origin | Market price （RMB/mt, Incl. VAT) | Change (RMB/mt) |
Price（$/mt) | Change ($/mt) |
| Tangshan | 867 | +12 | 126 | +2 |
| Beipiao | 853 | 0 | 124 | 0 |
Price includes VAT.
$1 = RMB 6.8959