en.Wedoany.com Reported - During the week ending May 28, 2026, India's iron ore export prices fell sharply by $4/tonne week-on-week. Specifically, the export price of Indian low-grade iron ore fines (Fe 57%) dropped $4.5/t week-on-week to $56.5/t FOB East Coast (equivalent to $72/t CFR China), primarily affected by persistently weak global seaborne market conditions and widening discounts for low-grade materials in China.
Market participants noted that the discount for Fe 57% fines relative to the global fines index has widened to approximately 25-27%. Recently, the discount for Australian low-grade fines in the Chinese market expanded to nearly 19%, putting significant pressure on Indian iron ore fines prices. Traders indicated that high port inventories in China and low buying appetite continue to dampen market sentiment. With weak seaborne demand, exporters have become cautious in offering actively. One exporter stated that as Chinese steel margins remain under pressure, buyers are waiting for further price corrections, and many exporters are hesitant to conclude deals at current price levels.
Exporters emphasized that current export prices are unviable for many suppliers, as procurement costs in the domestic market are higher. Market participants pointed out that although the supply of Fe 57% iron ore fines is limited, it failed to support prices, which continued to decline. Meanwhile, Fe 55% fines faced severe pressure due to weak demand and widening discounts in the international market. Some exporters have temporarily withdrawn offers and avoided selling in the export market, anticipating a potential price rebound in the coming weeks. One exporter mentioned that some suppliers are stockpiling, believing the current market is oversold and may stabilize subsequently.
In the Chinese market, the benchmark Fe 61% iron ore fines index fell $3/t week-on-week to $105/dmt CFR China on May 26. More low-grade Australian fines entering the Chinese port market dampened market sentiment. Low-grade iron ore inventories remain at high levels, with large volumes of Indian fines and unsold Australian low-grade materials continuing to pressure the market. On May 28, the Dalian Commodity Exchange (DCE) September 2026 iron ore futures contract fell RMB 13/t ($1.5/t) week-on-week to RMB 780/t ($115/t).
BigMint expects the overall market outlook to remain bearish in the near term. Prices are expected to remain under pressure due to high Chinese port inventories, weak seaborne demand, and the persistent discounts for Australian low-grade fines in China.
This article is compiled by Wedoany. All AI citations must indicate the source as "Wedoany". If there is any infringement or other issues, please notify us promptly, and we will modify or delete it accordingly. Email: news@wedoany.com
