Iron ore prices in China have edged down slightly today, Thursday, December 12, as demand is expected to slacken due to production restrictions and the gloomy outlook for the long steel sector. Prices for iron ore fines with 62 percent Fe content have lost $0.2/mt today to $93.8/mt CFR, but are still $5.2/mt higher compared to the end of last week. Brazilian iron ore with 65 percent Fe has also lost $0.8/mt over the day to $105.2/mt CFR, SteelOrbis has learned.
Chinese steelmakers’ capacity utilization rates have been at high levels, bolstering demand for iron ore in early December. However, demand for steel will slacken amid cold weather conditions, which will negatively affect iron ore prices in the near future.
Iron ore futures prices at Dalian Commodity Exchange have lost RMB 1.5/mt ($0.2/mt) or 0.22 percent today, coming to RMB 689.5/mt ($98.1/mt), but are still up 5.3 percent compared to December 5.
Steel enterprises in Tangshan in Hebei Province are required to implement level II anti-smog measures starting from 12:00 on December 13 due to the expected increase in smog, which will negatively affect steel output and thereby exert a negative impact on the iron ore market.
Rebar futures at Shanghai Future Exchange have increased by RMB 28/mt ($4.0/mt) or 0.75 percent on Thursday compared to the previous trading day, while increasing by RMB 164/mt ($23/mt) or 4.6 percent since December 5. However, the overall situation in the long steel market has been far from favorable. Average rebar spot prices have lost RMB 27/mt ($3.8/mt) today to RMB 4,013/mt ($571/mt) ew-warehouse, according to SteelOrbis’ data.
Imported iron ore prices (week-on-week basis)
Product Name |
Port |
Iron |
Place of origin |
Truck loaded price |
Change |
Price |
Change |
Newman iron ore lump |
Qingdao |
63/63.5 |
Australia |
821 |
-2 |
116.9 |
+0.2 |
Brazil fines |
63 |
Brazil |
692 |
+21 |
98.5 |
+3.4 |
|
Yandi fines |
58 / 59 |
Australia |
588 |
+7 |
83.7 |
+1.3 |
|
PB Fines |
62 |
Australia |
672 |
+7 |
95.7 |
+1.4 |
|
PB iron ore lump |
62/63 |
Australia |
816 |
-2 |
116.2 |
+0.2 |
Price include VAT.
Nationwide iron ore concentrate prices
Product Name |
Specification |
Place of Origin |
Market price (RMB/mt, Incl. VAT) |
Change |
Price($/mt) |
Change |
Iron ore concentrate |
damp base (iron content: 66 percent) |
Tangshan |
742 |
+9 |
106 |
+2 |
Iron ore concentrate |
damp base (iron content: 66 percent) |
Beipiao |
655 |
0 |
93 |
0 |
Price include VAT.
$1 = RMB 7.025