Japan’s No.2 steel mill, JFE Steel, expressed its management thoughts about furor over the iron ore prices which are renewing peak. JFE Steel Chief Financing Officer Terahata Masashi said that “JFE Steel has no difficulties in securing iron ore right now, but the question is how to set the product price while taking into account the iron ore prices.”
The iron ore prices posted a five-year peak last month surpassing $100 a ton which flared up by the mining problems coupled with the Brazil Vale’s owned tailing dam collapse. JFE Steel is being offered 25 percent of iron ore use from Vale and the remaining 55 percent from Australian mining producers.
Meanwhile, China which is the world largest iron ore user imported larger quantities of iron ore in May than April when registered an 18-month low in imports because the major mining companies rushed for a rapid shipment at higher price. China’s customs office said June 10 that china’s iron ore import totaled 83.75 million tons in May, 3.7 percent higher than the previous month. The collective import by May downed however to 423.92 million tons.
China’s domestic demand and production of iron ore remains steady, but the global major mining producers like Vale, BHP and Rio Tinto are known to face difficulties in shipment overseas. “Major miners hurried to ship ahead of the rougher weather conditions, but the iron ore supply will be tighter until the remaining part of the year,” CRU delivered.
Source: Steel&Metal News |
