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A substantial shrinking in iron ore demand

    Europe and Japan and South Korea due to the demand of iron ore a substantial shrinking in the Chinese market has become Vale do Rio Doce, Rio Tinto of Australia and BHP Billiton Big Three of the most important competition for the market. According to statistics, the first quarter of 2009, the three major iron ore giant to sell a total of 177 million tons, which sold to the Chinese market reached 140 million tons. Brazilian iron ore business to accelerate its sales efforts. Only the first quarter of 2009, the Brazilian ore exports to China reached 4,000 million tons, and its full-year 2008 exports to China of 100 million tons, however. At present, the price of its long-HS did not change mine, but so much of the sales made by the Brazilian ore spot prices for 50 percent of the cost. During the same period, the Brazilian iron ore exports to Europe declined by 69%. At present, the spot ore imports have been cheaper than domestic ore, and its high price point compared to 2008 declined by about 57 percent, compared with a long mining ADPL also fell more than 40 percent, so domestic production of iron ore market share is being subjected to foreign ores of crowding.


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