The world’s top three iron-ore producers are in talks to join China’s first physical iron-ore trading platform, an official from the China Iron and Steel Association (CISA) has said. “The three major miners are active and in talks with us,” Wang Xiaoqi, vice-chairman of the association, told reporters, referring to Brazilian miner Vale, Australia’s BHP Billiton and Rio Tinto .
China kicked off its first physical iron-ore trading platform in January, a move aimed at strengthening its pricing power over a raw material long dominated by giant foreign suppliers. While Vale and BHP have so far been silent on their interest in the trading platform, Australian miner Fortescue Metals Group , which plans to triple its output to boost sales in China, has given guarded support.
Separately, when asked if CISA opposed Vale sending its fleet of giant iron ore carriers to China, Wang said the association was only interested in securing raw materials that were fairly priced. It was the first time CISA has revealed its position on the issue, after intense protests by China’s Shipowners Association prompted Beijing to slap a 350,000-deadweight-tonne limit for vessels to dock, effectively banning Vale’s giant ships.
The world’s top three iron-ore producers are in talks to join China’s first physical iron-ore trading platform, an official from the China Iron and Steel Association (CISA) has said. “The three major miners are active and in talks with us,” Wang Xiaoqi, vice-chairman of the association, told reporters, referring to Brazilian miner Vale, Australia’s BHP Billiton and Rio Tinto .