Iron Ore Supply to Keep Tight

Japanese iron ore import is annual 130 million tonnes. The main sources of Australia and Brazil represent 82% of the total import though the import from Australia decreased and import from Brazil increased in fiscal 2005 ended March 2006. The annual purchase price of iron ore doubled in 2 years after 71.5% hike for fiscal 2005 and 19% hike for fiscal 2006. The largest importer of China expands the import lifting the price level. China imports annual rate 300 million tonnes in the year, which is 30 million tonnes higher than 2005. With the aggressive demand, the international iron ore supply could keep tight when the suppliers’ expansion schedule delays.