Brazil and Australia, two of the world's major iron ore producing countries, are supporting their economic growth by exporting iron ore, a raw material for national infrastructure, as the global economy recovers.
China, a major iron ore importer in the world, has contributed greatly to the economic development of iron ore producing countries, including Brazil and Australia, with its strong demand. However, iron ore imports decreased after China started to implement restrictions on steel production.
According to official statistics from Brazil, the country's iron ore exports in July were approximately 31.7 million tons, down 6.6 percent year on year. It was assumed that China's steel production limits caused the decrease.
Iron ore is seen as the main source of the Brazilian and Australian economy. The economic development of the two countries was expected to be affected when China's reduced demand for iron ore. Also, current iron ore prices are falling due to the increasing global iron ore supply, so it will be difficult for Brazil and Australia to lead their economies by exporting iron ore in the future.
Comments
No comment yet.