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Iron ore in 2021 is looking like… iron ore in 2020 | Hellenic Shipping News Worldwide


Iron ore in 2021 is looking like… iron ore in 2020
The fate of the market for iron ore Australia’s most valuable export at $102bn in the 2019-2020 financial year is squarely in the hands of its largest customer, China according to ASX news site StockHead.
As the world’s largest producer of steel at 1.1 billion tonnes in 2020, China consumes massive volumes of iron ore, much of it shipped from Australia.
“China usually accounts for ~70 per cent of the world’s iron ore imports,” said analysts at the Commonwealth Bank of Australia in a December report.
This market share has risen to as high as 75 per cent in the first nine months of 2020, as China’s rapid post-COVID-19 economic recovery led it to suck in more imports of the reddish ore. ....

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Australian miners not to blame for China's soaring iron ore prices, observers say


Australian miners not to blame for China’s soaring iron ore prices, observers say
China imports about 60 per cent of its iron ore from Australia. Photo: AFP
Australian miners should not be blamed for galloping iron ore prices that were likely caused by excessive hot money speculating on iron ore derivatives, analysts say.
The assessment comes after China s top steel mills, including China Baowu Steel Group, and the China Iron & Steel Association (CISA) met on Thursday to investigate soaring prices possibly caused by market manipulation that threatened to erode profitability and derail the steel production supply chain.
The iron ore market pricing mechanism has failed and steel companies unanimously call on the State Administration for Market Supervision and the China Securities Regulatory Commission to take effective measures . and crack down on possible violations of regulations, CISA said in a statement. ....

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