10 million tons of iron ore stocked at Rizhao port

10 million tons of iron ore stocked at Rizhao port

It’s reported that the iron ore stocks at China’s Rizhao port, Shandong Province have reached 10 million tons, which causes extremely tight finance to traders who are not able to import anymore.

Due to the deep drop in steel demand and prices affected by global financial crisis, China’s iron ore imports have fallen significantly since this June. Iron ore price thus suffered nosedive of over 50 percent compared with first half of this year.

On the other hand, the iron ore giant Vale, more and more relying on Chinese market, have to cut production and withdraw price-hike request, which provides Chinese steel mills good timing to stand advantage position in the coming iron ore negotiation.