Chinese iron ore suppliers have been suffered seriously by dropping international iron ore prices and halted 70 percent of total output during the past 6 months.
China is expected to reply on imported iron ore this year as world’s iron ore price is more attractive and shipping cost is relatively low nowadays.
Imported iron ore is raised by 23 percent annually although steel industry is stagnant. Local suppliers especially small sized producers who lack of economic scale will be driven out of the market soon.
The price of iron ore in March is at US$60/ton and down by US$140/ton from last year, which is believed to drop further in the future stemmed from oversupply in the market place. Source: Yieh.com