Sino-Iran Iron Ore Trade
Iranian iron ore magnetite, due to high efficiency in beneficiation, gradually gains popularity among Chinese dressing plants. China’s total import of Iranian iron ore reached 22.43 million tonnes in 2013, making Iran the fourth largest iron ore exporter to China. According to statistics, 60 enterprises had applied for Iranian iron ore import license in 2012 and the number grew to more than 80 in 2013. Although Iranian iron ore has been recognized in China, most steel mills use Iranian iron ore for ore proportioning due to its higher contents of sulfur and phosphorus, with the ratio at 1%-2%Iran plans to impose 10% duty on Iran Ore export starting March 21, 2014 and the rate will be raised to 25% within 3 years. Current export duty of 40% on concentrate and 30% on pellets will decrease by annual rate of 5% by 3 years.
Sino-Iran Iron Ore Trade - Export Duty
Iran plans to impose 10% duty on Iran Ore export starting March 21, 2014 and the rate will be raised to 25% within 3 years. Current export duty of 40% on concentrate and 30% on pellets will decrease by annual rate of 5% by 3 years..
According to Umetal survey, if mainstream iron ore import price stays below US$110/tonne, the profits of Iranian middle & low grade iron ore will fall sharply and the export will be heavily hit. Moreover, if the price drops below US$90/tonne, high grade iron ore profit will also evaporate and accordingly overall export will drop significantly.
Sino-Iran Iron Ore Trade - Trade Risks
