Industry News

Tight supply stokes low-alumina iron ore prices

Views : 206
Update time : 2022-01-27 18:32:08
Low-alumina ore prices have surged in the seaborne iron ore market, with wet weather dampening Brazilian supply since late-2021.
The alumina differentials under the 62% Fe iron ore index, or the IODEX, rose to the highest levels in 3 1/2 years Jan. 26.

Brazil typically supplies lower alumina content iron ore relative to Australia, the other major seaborne producer.

Mainstream products from Brazil, such as high-grade Carajas Fines and medium-grade Brazilian Blend Fines, or BRBF, have an alumina level of below 2%.

The supply of Carajas Fines from Vale's Northern System started tightening in November due to heavy rain, while Chinese steel margins swiftly recovered. The spread between the 65% and 62% Fe iron ore indexes more than doubled to $30.85/dmt Jan. 26, from $14.4/dmt Nov. 22.

Traders lapped up the recent Carajas Fines cargoes offered by Vale, due to a bullish view about prices over the coming weeks, even as a comparison of seaborne and Chinese portside Carajas Fines prices showed an import loss, according to sources.

Related News
Read More >>
Global stainless steel summit in Mumbai to discuss India’s challenges over rising imports Global stainless steel summit in Mumbai to discuss India’s challenges over rising imports
May .27.2025
Global stainless steel summit in Mumbai to discuss India’s challenges over rising imports
Nickel price increases on May 23 following sharp decline in US dollar & continued drops in inventories Nickel price increases on May 23 following sharp decline in US dollar & continued drops in inventories
May .27.2025
Nickel price increases on May 23 following sharp decline in US dollar & continued drops in inventories
China’s alumina prices climb due to tight supply and cost support China’s alumina prices climb due to tight supply and cost support
May .27.2025
China’s alumina prices climb due to tight supply and cost support
Great China Metal sees NT dollar strength as advantage for aluminum imports Great China Metal sees NT dollar strength as advantage for aluminum imports
May .27.2025
Great China Metal sees NT dollar strength as advantage for aluminum imports