Australia reduced iron ore exports by 4% y/y in October

In October 2024, Australia reduced exports of iron ore and pellets by 4.2% y/y – to 68.5 million tons. This is reported by BigMint with reference to data on the composition of ships.

Compared to September, iron ore exports fell by 9.7%.

In October, ore exports from Australia to China decreased by 10.3% m/m – to 58.3 million tons. Other major importers of Australian iron ore were South Korea and Japan. These countries imported 3.9 mln tonnes (-5% m/m) and about 3 mln tonnes (-29% m/m) respectively.

The decline in Australian iron ore exports in October was mainly due to weak market sentiment and a decline in interest in buying ore, particularly from China. The market experienced significant changes as several cities in the north of China, such as Tangshan and Handan, introduced air pollution response measures. These measures were aimed at reducing emissions by curbing industrial activity and affected the operations of steel mills.

Rio Tinto shipped 24.1 million tons of iron ore for export in October (-14% compared to September), BHP shipped 21.9 million tons (-2% m/m), and FMG shipped 15.9 million tons (-15% m/m).

Australia’s iron ore exports are expected to remain volatile in the future, driven by changing market dynamics and fluctuations in demand.

As GMK Center reported earlier, in the first 9 months of this year, Australia increased exports of iron ore and pellets by 2.4% year-on-year – to 644 million tons. In January-September, the average monthly price for Australian iron ore with an iron content of 62% fell by $5/t compared to the same period last year – to $112/t CFR China.