AUSTRALIA AND BRAZIL RECLAIM CONTROL OVER THE IRON ORE MARKET

Brazil and Australia are expected to reassert their dominance over the iron ore market in the next two years as new mines have begun operating following the lifting of COVID restrictions. Australia’s iron ore export rates should increase by almost 6% next year. Currently, the Australian government is hinting that total exports will reach the figure of 874 million tons in 2021, 923 million in 2022 and 948 million tons in 2033. This situation coincides with a simultaneous increase in Brazil’s exports, as the country reached levels prior to the Brumadinho dam disaster. The Australian government, which closely follows its closest competitor’s production forecasts, estimates that Brazil’s mineral exports could grow by nearly 9% in 2022 now that Vale has increased production capacity at its Vargem Grande complex and the pelletizing operations resumed once again. The Australian government predicts that Brazil’s total exports will reach 362 million tonnes by 2021, increasing to 394 tonnes in 2022 and 412 million in 2023.

Sources: Mundo Marítimo/Datamar News