[miningmx.com] – 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) said on Tuesday.
“The three major miners are active and in talks with us,” Wang Xiaoqi, vice-chairman
of the association, told reporters on the sidelines of a trade conference in Beijing,
referring to Brazilian miner Vale, Australia’s BHP Billiton and Rio Tinto.
China kicked off its first physical iron ore trading platform last month, a move aimed
at strengthening its pricing power over a raw material long dominated by giant foreign
suppliers.
The China Beijing International Mining Exchange launched the online platform together
with CISA and the China Chamber of Commerce of Metals Minerals & Chemicals
Importers & Exporters.
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 the China’s Shipowners Association prompted Beijing to slap a 350,000-deadweight-
tonne limit for vessels to dock, effectively banning Vale’s giant ships.
