Iron Ore Price, page-1579

I don't recall any chatter coming from the "Big Boys" about there being a floor on the iron ore price set by domestic Chinese supply at $120/tonne. They kept very quiet about what increased production would do to the IOP - but obviously, since they can work out a multiple-play game analysis involving 3 main player (BHP, RIO, and Vale) the price was always going down.

I can remember plenty of yammering from FMG, AGO, and a few brokers along those lines, however. BHP & RIO made hay while the iron ore price was high, and now they have the capacity to also make hay at $50/tonne, but maybe not quite as much.

Chinese are subsidising iron ore and cutting taxes to support their industry, but I say again, its not so much the iron ore mines which are competing with global seabourne trade. Its mines they need to keep open for geopolitical and geosocial development and stability.