Iron ore production in Brazil on the way to a record high
by David Fleschen
Iron ore continues to trade sideways at around $ 87 per tonne. The world's largest iron ore producer from Brazil has announced this week that he is aiming for a record-high production again in 2022. This should then be between 390 and 400 million tons. Originally the company wanted to produce 400 million tons of iron ore this year, but was thrown back by the devastating dam break at the beginning of the year. The forcibly closed mines are now gradually put back into operation. Higher production in Brazil is helping us to see that the seaborne iron ore market is on its way back to equilibrium. We therefore expect falling iron ore prices next year.
Source: Commerzbank Research, Photo: Fotolia