Iron Ore Prices, Information
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Iron Ore Prices are rarely published, due to the fact that most iron ore is used internally by
steel companies, and iron ore mines that sell their ore usually do so under long term contracts, negotiated with each buyer. June 30, 2007 China's average price of iron ore prices ranged from $97 to $113 (USD) per ton during January through May 2007 (National Development and Reform Commission (NDRC)). In the same period, the domestic steel price also represented an average growth of 10% to $509 per ton. In detail, the average price of steel wire ($509/ton), deformed steel bar ($521/ton), medium plate($528/ton) and cold rolled steel strip ($556/ton). On 1 Aug 2006, the spot iron ore prices for China delivery is $70 per ton at the delivery port (CFR) China. Iron ore pellets delivered price is $90 per ton at the China port. Iron ore pellets specs usually include 65% or greater iron content, while iron ore (lump) generally will be for 61% to 63% iron content. Cargo rates for shipping iron ore too China from Australia range from $15-$20/ton, while shipping from Brazil to China range between $30 to $40/ton. Trends Update June 30, 2007 China instituted a export tariff on steel in May 2007, to restrict and reduce the export of its steel, which it needs for domestic projects. Iron Trends: China is responsible for over 70% of the growth rate for steel since the year 2000. This makes China a major factor in the global steel market. With the Chinese economy growing at double digit rates, it is not likely to change in the near future, however there will be up and down trends as their economy cools a bit, then resumes its frantic pace. With some of China's domestic iron ore mines reaching levels of only 10% Fe, it would appear that they will be importing more iron ore in the foreseeable future. India's economy is likewise picking up steam, and likewise is their requirement for steel. This will put pressure on the price of available iron ore to incr |