South Africa’s iron ore export shipments in August 2022 stood at 4.48 mnt, down by almost 11% m-o-m as against 5.05 mnt seen in July, according to bulk vessel line-up data maintained with SteelMint.
South Africa’s iron ore exports decreased 17% y-o-y in August to 4.48 mnt from 5.41 mnt in August 2021. Meanwhile, cumulative export volumes remained stable at 38.43 mnt in January-August 2022 as against 38.29 mnt in the year-ago period. Notably, shipments to China were down by 29%.
South Africa’s iron ore export shipments to China in August were recorded at 2.34 mn t, down 29% m-o-m compared to 3.31 mn t in July. Sluggish demand for iron ore in China was the reason behind the decrease in exports. Prices exhibited a sharp downtrend on a low demand outlook which resulted in the decline in global iron ore prices. Spot lump premiums were recorded at $0.0895/dmtu towards the beginning of August which improved to $0.096/dmtu by month-end.
South Korea emerged as the second-largest importer of iron ore in August. The country imported 800,000 t of iron ore from South Africa against nil in July.
Other importers such as Japan remained at 420,000 t (up 72%) followed by the Netherlands and Turkiye with 370,000 t and 190,000 t, respectively.
Kumba records 20% fall in exports
Exports from the Kumba mines in August were at 2.9 mnt against 3.62 in July. Exports decreased by 20% m-o-m. The Assmang mine exported 870,000 t of iron ore in August, down by around 25% compared to 1.16 mn t in July.
The current assessment for imported South African lump (Fe 64%) stands at $105/t CNF Kandla. However, the market outlook is not optimistic for the rest of the year.
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