Iron ore

In January-May, Brazilian mining companies increased the export of iron ore by 10.7% y/y

In May 2023, the mining companies of Brazil increased the export of iron ore by 40.8% compared to the previous month – up to 35.2 million tons. Compared to May 2022, the indicator increased by 38.3%. This is evidenced by the data of the Ministry of Development, Industry and Foreign Trade of Brazil (Mdic).

Brazilian iron ore exports rose sharply in May compared to the previous month. The indicator was also significantly higher compared to a year earlier. This is the largest volume of exports since September last year, when the country shipped 36.1 million tons of iron ore raw materials abroad.

In January-May 2023, Brazil shipped 135.2 million tons of iron ore for export, which is 10.7% more compared to the same period in 2022. The income of mining companies amounted to $11.28 billion, which is 4.5% less y/y. In May, the value of exports increased by 31.8% m/m and 6.7% y/y – up to $2.9 billion.

The main export destination of Brazilian iron ore in January-May was China, which accounted for 58% of deliveries, or 84.6 million tons. In the second place was Malaysia – 6.3%, the third and fourth places were occupied by Japan and Bahrain with a share of 4.4 %.

In 2022, Brazil reduced iron ore exports by 3.7% compared to 2021 – to 343.99 million tons. Export income for the year fell by 35.2% y/y – to $28.92 billion.

As GMK Center reported earlier, China in January-May 2023 increased the import of iron ore by 7.7% compared to the same period in 2022 – up to 480.75 million tons. In May 2023, China’s steelmakers imported 96.17 million tons of iron ore, which is 6.3% more compared with the previous month, and by 3.9% y/y.