Australia’s iron ore exports rise in September

Australia's iron ore exports continued to rise in September, driven by higher shipments to China.

Australia exported 80.09mn t of iron ore in September, up by 5.4pc from the revised figure of 75.97mn t in August and up by 8.6pc from a year earlier, according to data from the Australian Bureau of Statistics (ABS) supplied through GTT.

Australia's shipments to China stood at 69.72mn t in September, up by 7.6pc on the month and by 10.8pc on the year. China accounted for 87pc of Australia's total exports in September, up from 85.5pc in August and 85.3pc from a year earlier.

Iron ore shipments from Australia's four major iron ore producers hit a record high in mid-September since June. Although shipments eased in the remaining month, they were still 5pc above the 12-month weekly average.

Over January-September, Australia's iron ore exports stood at 673.90mn t, up by 1.7pc from a year earlier. Australia exported a total of 19.94mn t of lump and 59.92mn t of fines to all destinations in September, up from 18.50mn t of lump and 56mn t of fines in August.

The Argus ICX seaborne fines price for 62pc Fe ore delivered to China averaged $93.92/dry metric tonne (dmt) cfr Qingdao in September, down from $98.85/dmt in August and $120.53/dmt in September 2023. Despite September usually being a peak season for steel demand, weaker-than-expected demand in China dampened steel and iron ore prices.

A series of economic stimulus policies announced by China in the last week of September supported prices, with the Argus-assessed ICX iron ore index standing at $109.35/dmt cfr Qingdao on a 62pc Fe basis and 58pc Fe at $97.65/dmt cfr Qingdao on 30 September.

But they have fallen since then, with Argus last assessing them on 6 November at $104.10/dmt cfr Qingdao on a 62pc Fe basis and at $90.50/dmt cfr Qingdao on a 58pc Fe basis.

Austrlian iron ore prices ($/dmt)