February 22, 2025

Import price of iron ore surges, steel industry spends 30 billion U.S. dollars

The data released by the Ministry of Industry and Information Technology recently showed that in 2010, the import prices of bulk raw materials in China have risen sharply. The sharp rise in the import price of iron ore is even more costly for China’s steel industry to spend as much as US$30 billion. Data show that last year a total of 620 million tons of iron ore was imported, a year-on-year decrease of 1.4%. The average import price was US$128/ton, up 60.6%; the import crude oil was 239 million tons, a year-on-year increase of 17.5%, and the average import price was US$565/ton. , up 28.9% year-on-year.

According to industry insiders, from the perspective of the trend of international commodities this year, the situation is still not optimistic. Under the influence of the US quantitative easing monetary policy and the recovery of the world economy may exceed expectations, recent commodity prices in the international market have continued to rise, and this market may continue, which will increase the pressure of imported inflation in China.

The data released by the Ministry of Industry and Information Technology also shows that the export tax rebate has a significant impact on the steel industry. The data show that steel exports in 2010 showed a trend of highs and lows. In the first half of the year, exports of steel (4890, -19.00, -0.39%) steadily rebounded. In June, exports reached 5.62 million tons, which was then affected by export policy adjustments. It has dropped significantly and fell to 2.8 million tons in August. The data also showed that a total of 42.56 million tons of steel were exported during the year, a year-on-year increase of 73%, of which from January to July, it was a year-on-year increase of 1.52 times, and from August to December, the growth rate of exports fell to 7.4%.

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