Annual long-term iron ore price negotiations stalemate, the traditional pricing mechanism by increasing the impact. Following BHP Billiton, the other two mining giants Rio Tinto and CVRD also started to \"open one\'s mouth\", said if a customer is willing to implement a more flexible pricing mechanism, you can change it.
Yesterday, there was news that two major steel companies, Japan and South Korea POSCO and Nippon Steel or iron ore benchmark price will be reduced only 30% ~ 35%, In this regard, the Secretary-General of China Iron and Steel Association said Shanghua single, from the current situation of steel, iron ore prices to the level of 2007 are not enough, there is still a considerable number of loss-making steel enterprises.
Single Shanghua told reporters that China Steel Association has just the day before yesterday and POSCO have regard to the exchange, there is no access to this information, but even if Japan and South Korea to accept a 30% ~ 35% of the decline, China will not accept them set benchmark prices, \"We are now the largest iron ore importer, should receive the cheaper price.\"
For one of the three major iron ore producers Rio Tinto of Australia, the company claims \"can not in iron ore prices by the end of June to reach an agreement on the termination of the contract will be\" single-Shanghua that this is psychological warfare at the other side, whether it is delaying negotiations to June or July, there is no time limit.