Australia increased exports of iron ore by 8% y/y in March

Export shipments of iron ore and pellets from Australia in March 2024 increased by 8% y/y – to 76.3 million tons, according to ship composition data, BigMint reports.

Compared to February 2024, the supply of raw materials abroad increased by 33%.

Iron ore shipments from Australia were affected by heavy rains, with all major suppliers trying to maximize volumes in March before the end of the cyclone season.

Australian iron ore exports to China increased by 34% m/m – to 48.2 million tons in March. Other major importers were South Korea and Japan – supplies to these countries amounted to 4.3 million tons (+43% m/m) and 4.1 million tons (+22%).

Last month, Rio Tinto’s iron ore shipments were the highest – 26.8 million tons (+38% compared to February 2024), BHP and FMG shipped 23.5 million tons and 18.2 million tons, respectively.

The average monthly price for Australian iron ore with a 62% iron content fell to $110/t CFR China in March this year, compared to $126/t in the previous month.

As GMK Center reported earlier, iron ore prices fell to an 11-month low in March as the supply of raw materials on the market exceeded demand. At the end of the month, iron ore prices on the Dalian Exchange fell by 15.2% and on the Singapore Exchange by 14.4%, from $121.1/t and 113.3/t, respectively. The downward trend in the market is the result of declining demand in China, the world’s largest consumer. Steel mills are becoming unprofitable, forcing them to suspend production.