The prices for iron ore as well as coking coal remain bullish, although a little downside showed during February, while the pig iron continue beyond $80 per ton for pig iron in particular.
Once breaking through $90 per ton in 22-month absence, the iron ore prices are down to the $83 per ton mark presently. But the international iron ore supply and demand condition will be projected to be directly affected by the supply cuts which will be possibly approaching over 50.0 million tons because of the Brazilian environmental restraints.
Recently, the National Mining Agency in Brazil ordered to demolish Tailing Dam which was erected by the method of upstream construction, taking to removing 35 of the entire 226 iron ore tailing dams located across Brazil. The Tailing Dam is scheduled to be on the deconstruction work by August 15, 2021 by which the demolition must be completed within two years thereafter. In this case, Vale’s iron ore production cut will approach around 50.0 million tons this year.
The coking coal prices are showing a sharp upside since the start of the new year, rebounding most currently to $215 per ton level from the downturn to the $190 per ton range. The coking coal prices are expected to come back rallies for a while ahead as the concern about the Australian supply problems resumes.
Source: Steel&Metal News |
