Iron ore mine support in 2015
Updated: 2015-04-24 15:07
(Xinhua)
|
|||||||||||
BEIJING - China will see less iron ore mine closures in 2015 thanks to government support to the industry, which has been suffering from low prices, global rating agency Fitch said Friday.
The domestic iron ore market faces high smelting costs and insufficient production. A slew of mines were forced to close as a result of the price drop of iron ore in 2014, which increased China's dependance on imported iron ores. Now only about 60 percent of iron ore firms are in production.
Support from the government will provide a lifeline to keep domestic supply in the market longer, Fitch said.
Resource tax on domestic iron ore producers will be reduced to 40 percent from 80 percent as of May, the State Council announced earlier this month.
Fitch expects more subsidies will be offered to support iron ore miners.
Data from the China Iron and Steel Association (CISA) shows that a record high of 933 million metric tonnes of iron ore was imported in 2014, up 13.8 percent from a year earlier. About 78.5 percent of iron ore was imported last year.
Related Stories
Steel firm gets full control of African mine 2015-04-21 09:07
Iron mining taxes to be reduced by 60 percent 2015-04-09 10:21
China lowers iron ore resource tax to 40% 2015-04-09 09:37
Weak demand keeps iron ore price low 2015-04-08 08:51
Imported iron ore prices continue to drop 2015-04-07 15:29
Today's Top News
China plays down capital exodus
The real Apple Watchon sale Friday in China
US strike inadvertently killed US, Italian hostages
Duties on rare earth exports to be ended
European rail route upgrade to boost trade
China and Russia to start search for Soviet soldiers' remains
Kim likely to visit Russia in May for war victory ceremony
Specialists discuss hot topics in China-EEC relations
Hot Topics
Lunar probe , China growth forecasts, Emission rules get tougher, China seen through 'colored lens', International board,
Editor's Picks
What do we know about AIIB |
Full coverage of Boao Forum for Asia |
Annual legislative and political advisory sessions |
Festival Special: Apps that make holiday shopping easier |
Listed firms caught in anti-corruption net |
Conca set to return to China |