Published by:Alice Li<>
16 Apr 2025 @ 11:41 UTC

Seaborne iron ore prices declined on Wednesday April 16 after a four-day-rally, mainly due to sentiment being dampened by increased trade tensions between the US and China, sources told Fastmarkets. Key drivers The most-traded September iron ore futures contract on the Dalian Commodity Exchange (DCE) closed at 708 yuan ($97) per tonne on Wednesday, down by 0.7% from previous closing price of 713 yuan ($98) per tonne.
And by 6:15pm, the most-traded May contract on the Singapore Exchange (SGX) was $98.20 per tonne, down by $0.51 per tonne compared with the previous settlement price of $98.71 per tonne.
A source at a Beijing mill in northern China said that US and China trade tensions were dimming the market outlook in terms of iron ore derivatives in the morning session, but confidence grew through the day after upbeat data on China’s first-quarter, with growth in the country’s gross domestic product (GDP) exceeded expectations.
The US president has slapped new tariffs on friend and foe alike this year but, despite the 90-day pause on the implementation for other trading partners, late on April 15, Donald Trump increased the reciprocal tariff on imports from China from 145% to 245%.
China’s GDP grew 5.4% year on year in the first three months of the year and was unchanged from the fourth quarter of 2024, according to data released by National Bureau Statistic on Wednesday.
A trader source based in Beijing said that major miners, including Rio Tinto and Vale, had kept their yearly iron ore shipment guidance unchanged in their company reports on April 16, which eased concerns about a decline in seaborne supplies.
There were some rumours [on April 15] that one of the major miners might adjust down its shipment guidance, but that turned out [not to be the case], the source said.
But some market participants said that the decline in arrivals of iron ore in the first quarter of 2025 would probably underpin iron ore prices in the short term.
Activity in the secondary seaborne iron ore market between traders increased on Wednesday, with half-ship or combo cargoes of fines and lump to be loaded in mid or late May because of the low premiums, Fastmarkets understands.
One cargo of 120,000 tonnes of Pilbara Blend fines, co-loaded with 50,000 tonnes of Pilbara Blend lump, was traded at the May average of a 62% Fe iron ore fines index late on April 15, with a laycan of May 18-27.
But a mill source from southern China said the premium for Pilbara Blend fines was partially supported by the limited number of May arrival cargoes being offered in primary and secondary markets.
Imported iron ore lump, with a discount or lower premiums, also attracted some buying interest in the seaborne market due to being cost-effective and having high reselling margins, a second Beijing-based trader said.
A Hebei-based mill source in the north told Fastmarkets that the ample supplies of lower-priced non-mainstream Brazilian low-alumina fines in China’s portside market, would continue to cap the premium for mid- and high-grade Brazilian fines in the seaborne market.
Concentrates and pellet feed Trading in imported high-grade pellet feed and pellet was subdued on Wednesday, mainly because of poor demand from both mills and traders.
In eastern China, a Zhejiang-based trader said: Domestic concentrates and pellet are more cost-effective than seaborne cargoes.
And sources told Fastmarkets that an Australia miner had managed to maintain its monthly discount for 65% Fe Australia pellet feed at 4.5% over a May 65% Fe iron ore fines index with a long-term contract buyer in China, in the week to Wednesday.
We received few bids for April-loaded pellet feed from Chile recently and the offer for 66% Fe Chilean pellet feed was unchanged at the average of a 65% Fe iron ore fines index plus a discount of $2 per tonne, a Shanghai-based trader said.
But some sources said the spread between high-grade imported pellet feed and Pilbara Blend fines in China’s portside market was still large due to the high seaborne price for pellet feed.
Fastmarkets’ iron ore indices 62% Fe fines, cfr Qingdao:$98.91 per tonne, down $0.48 per tonne 62% Fe low-alumina fines, cfr Qingdao:$98.47 per tonne, down $0.47 per tonne 58% Fe fines high-grade premium, cfr Qingdao:$85.62 per tonne, down $0.47 per tonne 65% Fe Brazil-origin fines, cfr Qingdao:$111.84 per tonne, down $0.48 per tonne 62.5% Fe Australia-origin lump ore premium, cfr Qingdao:$0.1400 per dry metric tonne unit (dmtu), unchanged 62% Fe fines, fot Qingdao:784 yuan per wet metric tonne (implied 62% Fe China Port Price:$98.94 per dry tonne), down by 5 yuan per wmt 67.5% Fe pellet feed premium, cfr Qingdao:$0.50 per tonne, unchanged 67.5% Fe pellet feed, cfr Qingdao:$116.29 per tonne, down $0.39 per tonne 65% Fe concentrate premium, cfr Qingdao:$(5.10) per tonne, down $0.10 per tonne 65% Fe concentrate, cfr Qingdao:$105.81 per tonne, down $0.49 per tonne
Trades/offers/bids heard in the market BHP, GlobalORE, 90,000 tonnes of 62% Fe Mining Area C fines, traded at $95.10 per tonne, laycan May 21-30
BHP, Beijing Iron Ore Trading Center, 90,000 tonnes of 60.5% Fe Jimblebar fines, traded at the May average of two 62% Fe indices with a discount of $6.80 per tonne, laycan May 16-25 (fixed-price equivalent calculated at $88.96 per tonne CFR China)
BHP, tender, 80,000 tonnes of 62.5% Fe Newman Blend lump, traded at the May average of Fastmarkets’ 62% Fe index and another 62% Fe index on an FOB Australia basis plus a lump premium of $0.1452 per dry metric tonne unit, laycan May 16-25
Tender, two ships of 70,000 tonnes of 62% Fe Karara pellet feed, traded at the June average of a 62% Fe index with a discount of $2.18 per tonne, mid-May loading
Tender, 70,000 tonnes of 65% Fe Karara pellet feed, traded at the June average of a 65% Fe index with a discount of $6.89 per tonne, mid-May loading
Market participant indications Fastmarkets’ index for iron ore 62% Fe fines CFR Qingdao Pilbara Blend fines: $98.50-99.13 per tonne Brazilian Blend fines: $98.00-99.00 per tonne Newman fines: $95.48-95.63 per tonne Jimblebar fines: $91.50-92.36 per tonne
Fastmarkets’ index for iron ore 65% Fe Brazil-origin fines CFR Qingdao Iron Ore Carajas: $110.90-112.10 per tonne
Fastmarkets’ index for iron ore 67.5% Fe Pellet Feed Premium, CFR Qingdao Minas Rio BFPF Pellet Feed: $(3.50)-(5.00) per tonne Atacama CNN Pellet Feed: $(2.00)-(3.00) per tonne Romeral Pellet Feed: $(2.00)-(2.50) per tonne Shougang Hierro Peru 70: $0.50-0.60 per tonne Kaunis Pellet Feed: $0.00-1.00 per tonne Metinvest 68% Pellet Feed: $(2.30)-(3.00) per tonne
Fastmarkets’ index for iron ore 65% Fe Concentrate Premium, CFR Qingdao Citic Pacific Concentrate: $(4.00)-(4.50) per tonne Karara Concentrate: $(5.00)-(6.89) per tonne Metinvest SevGok Concentrate: $(4.20)-(4.65) per tonne
Port prices Pilbara Blend fines were traded at 762-770 yuan per wmt in Shandong province and the ports of Tangshan city on Wednesday, compared with 770-778 yuan per wmt on Tuesday.
The latest range is equivalent to about $96-97 per tonne in the seaborne market.
Dalian Commodity Exchange The most-traded September iron ore futures contract on the exchange closed at 708 yuan ($97) per tonne on Wednesday, down by 5 yuan from the previous closing price.