china's iron ore projects under construction

Will China need to import iron ore in the future?

China's iron ore projects under construction tops 120million tons, scheduled for operation in 2-3y
Wednesday, Nov 12, 2008

A total of 17 iron ore projects (each with a capacity of above two million tons) are now under construction in China, which is to release a total production capacity topping 120 million tons upon operation in the coming 2-3 years, said Zhou Jian, chairman of Metallurgical Mines Association of China (MMAC).

Among them, projects with the capacity above 10 million ton include the Yuanjiachun iron mine invested by Taiyuan Iron & SteelGroup (22 million tons), the second phase of Sijiaying iron mine invested by Tangshan Iron & Steel (15 million tons), the Huoqiu iron mine in east China's Anhui Province (14.5 million tons) and the western Baiyun iron mine invested by Baotou Steel Group (100 million tons).

Meanwhile, the Luohe iron mine of Maanshan Iron and Steel Group has a scale of five million tons, and Xinshan iron mine of Shougang Group, four million tons.

Zhou Jian noted that the global financial storm will greatly suppress the growth of China's steel industry, and the increment of domestic iron ore production can meet the demand of new iron and steel production capacity.

International iron ore and ocean shipping market will say farewell to the windfall age, but the iron ore industry will still have a handsome profit margin for international monopolistic factor, said the association head.

Iron ore price will rush in a period of being relatively stable from the end of this year, Zhou predicted.

Source: Alibaba News Channel