from Industrial News Features, 20,July 2005 (New Delhi)
Steel mills in China, are deferring shipments of iron ore squeezed by overcapacity, Beijing's fresh measures to cool the economy and a global economic slowdown.
"Mittal Steel Co, the world biggest steel maker, said in May that consumption in the United States was suffering from an inventory overhang.
Spot Indian iron ore prices - which are seen as the barometer for China's steel sector - fell to below $US70 a tonne, including cost and freight, from about $US95 early in April, iron ore traders said.
In May alone Chinese prices for hot-rolled coil fell 1500 to 2000 yuan per tonne to below 4000 yuan per tonne, the Beijing trader added. The slowdown has pushed freight rates from Brazil to China down to $US20 a tonne, half the first quarter level, shipping officials said. Some of the world's top steel makers, including Arcelor and ThyssenKrupp, have already announced production cuts to counter a downward price trend."
Prices of finished wrought iron products from India seem to be quite firm in MAy 2005 and hovered around US$3,000 (for LSB) to US$6,000 (top end) per tonne, with shipping costs to USA of around US$3,000 per 20 foot container.
July 20, 2005=Ornamental Iron Gates