Iron ore mine support in 2015
Source: www.chinamining.org Citation: Xinhua Date: April 27, 2015
China will see less iron ore mine closures in 2015 thanks to government support to the industry, which has been suffering from low prices, global rating agency Fitch said Friday.
The domestic iron ore market faces high smelting costs and insufficient production. A slew of mines were forced to close as a result of the price drop of iron ore in 2014, which increased China`s dependence on imported iron ores. Now only about 60 percent of iron ore firms are in production.
Support from the government will provide a lifeline to keep domestic supply in the market longer, Fitch said.
Resource tax on domestic iron ore producers will be reduced to 40 percent from 80 percent as of May, the State Council announced earlier this month.
Fitch expects more subsidies will be offered to support iron ore miners.
Data from the China Iron and Steel Association (CISA) shows that a record high of 933 million metric tonnes of iron ore was imported in 2014, up 13.8 percent from a year earlier. About 78.5 percent of iron ore was imported last year.
About CHINA MINING
Since first held in 1999, the scope and influence of CHINA MINING has grown rapidly year by year. As a global mining summit forum and exhibition, CHINA MINING Congress and Expo has become one of the world’s top mining events, and one of the world’s largest mining exploration, development and trading platforms, covering all aspects of the whole mining industry chain, including geological survey, exploration and development, mining rights trading, mining investment and financing, smelting and processing, mining techniques and equipment, mining services, etc. playing an active promotion role in creating exchange opportunities and enhancing mutual cooperation between domestic and foreign mining enterprises.
CHINA MINING Congress and Expo 2015 will be held at Meijiang Convention and Exhibition Center in Tianjin on November 20th-23rd, 2015. We invite you to join the event and to celebrate the 17th anniversary of CHINA MINING with us. For more information about CHINA MINING 2015, please visit: www.chinaminingtj.org.
