Iron ore quotes have dropped to a five-week low due to muted buying activity in China. Concerns about a potential shortage of the raw material, which had been roiling the market for several consecutive weeks, eased amid abundant stockpiles at China’s ports.
Ukrainian Danube ports handled 29.4 million t of cargo from January 1 till November 30, 2023, which is almost six times higher than in the pre-war period, that is before the full-scale invasion of Ukraine.
A total of 8.5 million t of export cargo and 1.4 million t of imported goods were transferred through the Izov – Hrubieszów border crossing point in 2023 (down 928,000 t and 243,000 t, respectively, compared with 2022).
A total of 1.1 million t of cargo were transferred through the Chop – Zahony land border crossing point in 2023, of which 108,200 t fell on imported goods while 1 million t were export cargo. Thus, the cargo flow increased bylmost 400,000 t in 2023 compared with 2022 or 56% year-on-year.
Prices for imported iron ore are climbing up in China. They have reached the highest levels in the past year and a half by January 5 owing to optimistic outlook for the developments in Chinese ore consuming industries and rumors about possible reduction in supplies from Australia.
About 266 wagons were transferred daily through the Chop – Čierna nad Tisou land border crossing point as of December 21 (up 9 units per day in two weeks). Approximately 199 wagons per day were moving on export routes (down 1 unit), while 67 wagons arrived with imported cargo (up 10 units).
World iron ore prices have increased slightly amid improving economic prospects in China. However, trade in the segment of finished steel products in China has slackened due to approaching long winter holidays.
A total of 3 million t of Ukrainian iron ore were carried by railways in November (up 17% compared with October). Export iron ore traffic increased by 19% month-on-month to 2.3 million t in November, while domestic deliveries rose by 10% month-on-month to 700,000 t.
Quotes for iron ore of literally all origins have been fluctuating during the week. Despite encouraging expectations on most market insiders for December, the market conditions have worsened amid growing stocks at China’s ports and overall sluggish demand. Thus, iron ore stockpiles have increased by 2.9 million t to 113.6 million t in Chinese…… Read more »