China Iron Ore Imports Up 5% in Q3 CY18

Iron ore imports in September hit 4-month high and was recorded at 93.08 MnT.

According to General Administration of Customs, China - world's largest iron ore consumer and importer recorded iron ore and pellet imports at 272.38 MnT in third quarter CY'18. The imports witnessed rise of 5% on quarterly basis compared to 260.30 MnT in Q2 CY'18. The increase in imports is attributed to enhanced production ahead of Chinese week long holidays (1st Oct to 7th Oct) and winter heating season which is likely to lead to production cuts to curb air pollution. The Chinese city Tangshan has started production cuts from 1st Oct and curbs in Handan steel mills will be enforced from 1st Nov, which may bring about decline in Oct'18 imports.

However, on yearly basis China's iron ore imports depicted 2% decline as compared to Q3 CY'17 at 278.73 MnT.

The total imports for Jan-Sep'18 witnessed at 803.05 MnT, down 3% as against same duration previous year (Jan-Sep'17) at 826.6 MnT.

China iron ore imports in Sep'18 hit four months high

China iron ore imports in Sep'18 witnessed at 93.08 MnT, up 4% as against 89.34 MnT in Aug'18. The imports in Sep'18 stood four months high since May'18 at 94.14 MnT. The Chinese imports in Sep'18 stood 9% down compared to Sep'17 imports at 102.83 MnT . Generally, September is high season for construction activities in China which boosts imports of raw material.

Monthly average global iron ore fines (Fe 62%) prices in Sep'18 recorded at USD 68/MT, CFR China, stable on monthly basis.

China's crude iron ore production drops 40% Y-o-Y

According to National Bureau of Statistics, China has witnessed drop in iron ore production at 519.99 MnT for Jan-Aug'18, down 40% as against same duration previous year (Jan-Aug'17) at 863.52 MnT.

On yearly basis, crude iron ore production was 64.66 MnT in Aug'18. The production has declined by 44% compared to 115.49 MnT in Aug'17.

However, on monthly basis the production stood in line with July'18 production at 64.76 MnT.