Australia lowered this year and iron ore price forecast

The Australian government on Thursday (July 7) in quarter resources report in 2016 iron ore price forecast from $45 to $44.2 a tonne, and forecast to 2017 from the $55 per tonne to $44. The Australian government said at the same time, since this year, iron ore prices rose nearly 30%, but in the first half of the average price of $48 per ton from a year ago are still down 13%.

According to the report, "despite the sharp rise in iron ore prices this year, but the market fundamentals have not changed, still excess iron ore supply, and lower demand growth." Have other report predicts that China's economic transition as the world's largest steel exporter to no longer by the credit to promote growth, China's steel production this year and next year will drop to 783 million tons and 783 million tons respectively.

Australia is the world's largest exporter of iron ore, but because of the biggest importer, China's economic growth is slowing, lead to impact on Australian iron ore trade.

The Australian government is expected, with strong growth and a slowdown in demand, supply in the rest of 2016, iron ore prices will moderate.
Hunan great steel pipe co.,ltd will focus on the economic matter.