- Chinese spot prices of iron ore fines (Fe 62%) rise $3/t w-o-w
- Trade activities turn slow on China’s Labour Day holidays
Dry bulk iron ore freight rates have increased this week from the Indian Ocean amid strong demand for smaller vessels. However, demand for Capesize remained slow pulling their freight rates lower w-o-w. So, overall, it was a mixed week. Some enquiries for Capesize vessels got fixed this week for the laycan period mid-May post-Labour Day holidays in China.
Asia-Pacific Supramax dry bulk (50,000-55,000 t) freight rates for an iron ore vessel from the east coast of India to China rose by $0.5/tonne (t) w-o-w this week to $15/t on 1 May, 2024, as per BigMint’s assessment.
Spot prices of iron ore fines (Fe 62%) rose by $3/t w-o-w to $116.75/t CFR China on 30 April as Chinese Labour Day holidays are starting from 1 May. Inquiries from mills and traders remained moderate, as many participants were away from the market post-restocking. However, prices of medium-higher grades were quite competitive as compared to the lower-grade fines.
Route wise freight specifications
- India-China: Freight rates from the Indian Ocean to China have risen this week. Notably, lack of urgency on booking vessels has been seen. In addition, in a deal done last week, a shipbroker has booked a Supramax vessel from Paradip to Qingdao at $14.5/t for laycan 20 May.
- Australia-China: Australian iron ore miners were seen seeking tonnages this week. Moreover, Rio Tinto and FMG are booking vessels for the mid-May dates at lower freight levels of around $9.6-9.9/t.
- Brazil-China: Trading activities from the Pacific region was dull this week. Meanwhile, availability of vessels on the Pacific route was witnessed. Some fresh enquiries for the key route are under negotiations for mid-May shipment.
- South Africa-China: Iron ore shipment activities were lower this week. Some enquiries from Anglo American and Assmang Ore have been fixed this week for mid-May shipment.