OREANDA-NEWS. December 28, 2010. The Iranian government has imposed a 50% tax on iron ore concentrate exports, and a 35% tax on iron pellets’ exports. Apparently, the move was made to accelerate the development of domestic steelmaking.

Millennium Capital: the news is POSITIVE for Iron Ore. Iran is the fifth largest supplier of iron ore to China, supplying it with 12.9 MT of this steelmaking input in 11M2010. Ukraine is the next on the list with 10.4 MT of China-bound exports in 11M2010. Considering the restrictions on iron ore exports in India, #3 in China’s iron ore supplies list, Ukrainian exports have good prospects for expansion, given the stability of Chinese demand in iron ore, and the commitment of Metinvest, the largest iron ore producer in Ukraine, for an increased presence on the Chinese iron ore market.