Iron ore prices in China have seen decreases today, Thursday, February 27, and over the past week due to increased protectionism after the US announcements and the preliminary duties implemented by Vietnam and South Korea for Chinese flat steel products. However, demand for iron ore has been gradually increasing, so in the near future quotations may be firm or move up slightly.
The price for iron ore fines with 62 percent Fe stands at $105/mt CFR, down by $0.8/mt from yesterday and $4/mt lower than a week ago. At the same time, ex-Brazil fines with 65 percent of Fe have been quoted at $118.4/mt CFR, losing $0.85/mt from yesterday and $44.4/mt over the past week.
At the Corex platform, 30 deals for a total of 626,400 mt of iron ore have been signed on February 27, including 190,000 mt of 60.6 percent Mac fines at the May index + $0.1/mt, for shipment during the first half of April. Also, 20,000 mt of 62.03 percent fines have been traded at RMB 790/mt ($110.2/mt), for delivery at Caofeidian port. This signals firm demand after prices lost ground. The good demand has been due to the rises in crude steel production ahead of the spring construction season and have prevented prices from going down faster. Also, iron ore inventories at Chinese ports have slipped by over three percent over the past week to below the 145 million mt mark.
During the given week, import iron ore prices in the Chinese market have seen slight declines amid the prevailing cautious attitude towards restocking among steelmakers and the negative impact of increased protectionism against China. Recently, the arrivals of iron ore at ports have increased, easing the supply shortage and weakening the support for prices. The production of molten iron is expected to see further slight rises in the coming week, which will exert a positive impact on iron ore prices due to the anticipated better demand. It is expected that import iron ore prices in the Chinese market will edge up in the coming week.
Iron ore futures prices at Dalian Commodity Exchange have decreased by 0.8 percent today at RMB 805/mt ($112.3/mt) compared to the previous trading day, February 26, while decreasing by RMB 32/mt ($4.5/mt) compared to February 20.
As of February 27, rebar futures at Shanghai Futures Exchange are standing at RMB 3,329/mt ($464/mt), decreasing by RMB 29/mt ($4/mt) or 0.12 percent since February 20, while up 0.48 percent compared to the previous trading day, February 26.
Imported iron ore prices in China (week-on-week basis)
| Product name | Iron Content |
Truck loaded price (RMB/mt) |
Change (RMB/mt) |
Price ($/mt) |
Change ($/mt) |
| Newman iron ore lump | 63/63.5 | 925 | -14 | 128.9 | -2.0 |
| Yandi fines | 58 / 59 | 777 | -9 | 108.3 | -1.3 |
| PB Fines | 62 | 806 | -9 | 112.4 | -1.3 |
| PB iron ore lump | 62/63 | 938 | -17 | 130.7 | -2.4 |
| Brazil fines | 63 | 817 | -11 | 113.9 | -1.6 |
Price includes VAT.
Nationwide iron ore concentrate prices (66 percent Fe)
| Place of origin | Market price （RMB/mt, Incl. VAT) | Change (RMB/mt) |
Price（$/mt) | Change ($/mt) |
| Tangshan | 862 | -11 | 120 | -2 |
| Beipiao | 831 | 6 | 116 | 1 |
Price includes VAT.
$1 = RMB 7.174