Crucial export iron ore under pressure from China’s economy

Australia’s biggest miners face the prospect of iron ore staying flat for longer, after prices for the country’s most lucrative export crashed more than a quarter this year amid uncertainty about China’s economic outlook.

The value of iron ore, Australia’s largest export and a billion-dollar earner for the federal government, has plunged 27 per cent from 18-month highs.Westpac Bank’s commodity team, in a note on the sector, said China’s steel mill stockpiles have jumped to their highest level since February last year, above seasonal averages, and iron ore port inventory has risen in 11 of past 12 weeks, up 30 per cent from September.

China mills more than half the world’s crude steel and is exporting record amounts as it grapples with a sustained building and housing development crisis that earlier this month prompted the country’s Housing and Urban-Rural Development Minister, Ni Hong, to reiterate that “housing is for living in, not for speculation”.

BHP’s vice president of market analysis and economics, Huw McKay, said in a commodity outlook late last month that China recorded its fifth consecutive year of crude steel production above 1 billion tonnes on the back of solid demand in non-housing sectors and a material jump in net exports to a seven-year high.

Australia Latest News, Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Detectives Access Crucial Mobile Phone Data in Search for Missing WomanDetectives have finally been able to access crucial mobile phone data more than a month after mother-of-three Samantha Murphy vanished without a trace in Victoria. The data could potentially lead to a breakthrough in the investigation.
Source: 7NewsMelbourne - 🏆 18. / 59 Read more »

The crucial two hours that finally cracked the caseMore than a week after Jesse Baird and Luke Davies were allegedly murdered by Beau Lamarre-Condon, detectives got a vital breakthrough.
Source: smh - 🏆 6. / 80 Read more »

Labor wins crucial Dunkley by-election as Liberals concede seat south east of MelbourneThere was a silver lining for Nathan Conroy as the Liberal candidate for the seat of Dunkley, south east of Melbourne, conceded defeat to the party faithful on election night.
Source: 9NewsAUS - 🏆 10. / 72 Read more »

The 'crucial' solution to Australia's crippling skill shortage problemAustralia needs to increase access to English-language training for migrants and better recognise their qualifications for the nation to reap the benefits.
Source: SBSNews - 🏆 3. / 89 Read more »

US passes long-delayed deal to fund crucial Pacific Island agreementsAlthough the three island nations involved are tiny, they span 4000 km across the Pacific, providing critical access for the US to operate in the Indo-Pacific region.
Source: FinancialReview - 🏆 2. / 90 Read more »

‘We got dudded on a couple’: Eels query new rule interpretation on crucial Panthers tryNRL: Jarome Luai was penalised and placed on report for tripping Mitchell Moses in a closely fought first half between the Eels and Panthers.
Source: FOXSportsAUS - 🏆 24. / 51 Read more »