Beijing has shown signs that Chinese iron ore ports will accept Vale SA’s supersize ships – Valemaxes – once again, which has the iron ore miner hoping that demand will improve.
As it stands, China has prevented Valemax from docking in its ports because they’re simply too big, according to the Wall Street Journal. “Threatened by the competition to their own fleets, Chinese shipowners including state-owned China Ocean Shipping (Group) Co. successfully lobbied Beijing early last year essentially to ban Valemaxes, describing the ships as “a matter of monopoly and unfair competition” and citing safety concerns,” the article stated.
The new Chinese proposal, although exhibiting vague language, still shows a glimmer of hope for Valemaxes’ future.
Today’s Global Iron Ore and Steel Prices
The Chinese prices of iron ore 58% fines from India remained within a tight range, as Chinese steel closed mixed yesterday. The price of Chinese slab declined 0.5 percent. Chinese HRC stayed flat.
Strengthening prices ended a three-day flat streak as the steel billet cash price moved up by 3.4 percent on Tuesday, September 10 on the LME to $150.00 per metric ton. The steel billet 3-month price rose by 2.9 percent on the LME to $175.00 per metric ton.
The 3-month price of the US HRC futures contract saw little movement yesterday, closing out around $625.00 per short ton. The spot price of the US HRC futures contract saw little change in its price on Tuesday at $642.00 per short ton.