The China Iron and Steel Association will start publishing a weekly iron ore index on Oct. 1 as commodity-pricing services compete to have a bigger say over pricing of the raw material used in steelmaking.
Steel demand in China, the world’s biggest consumer, may rise by as much as a quarter by 2015 compared with demand last year, according to a projection from the China Iron & Steel Association, which represents producers.
China’s steel exports will drop “significantly” in the fourth quarter from the first half because of the removal of a tax rebate, yuan appreciation and lower demand, the China Iron and Steel Association said.
China, the world’s largest buyer of iron ore, may reduce the number of qualified importers of the commodity with new rules for the steel industry soon, paving the way for mills to improve their price bargaining power.
Vale SA, BHP Billiton Ltd. and Rio Tinto Group, the three largest exporters of iron ore, threatened to cut supplies unless steelmakers accept their price demands, the China Iron & Steel Association said.