STATISTICAL SURVEY OF THE WORLD IRON ORE MARKET

Abstract

The paper is devoted to the statistical survey of the world's iron ore market from 2017 to 2021. It is identified that iron market is one of the world's most important markets, by reason of the iron ore is the second most important good after oil. It is noted that iron is crucial material for global economic development in view of it is significant for the production of crude steel, is the basis for many industries and global infrastructure. The countries share in iron ore mining has been identified: the world's four leading countries account for 72% of total iron production (Australia produces 34% of total world production, Brazil – 15%, China – 14%, India – 9% of production). The rest of the world produces 28% of iron ore. The data of the US Geological Survey concerning the forecast of iron ore production in 2021 are analyzed. It is noted that in accordance with the US Geological Survey, iron ore production in Australia will decrease by 1.9%. The key factors for the production reduction are the delays in supply chains, maintenance, adverse weather conditions and lack of foreign labor due to COVID-19 restrictions. In Brazil, iron ore production is projected to down 5% due to COVID-19 restrictions and problems with the repository dam accident. In India, iron ore production will increase by 17% in 2021, due to reforms in mining policy to ensure expanded production, namely: decommissioned mines were put into operation, business was simplified, the transfer of all valid rights and permits was unimpeded, mines were allowed to sell up to 50% of the extracted iron ore, etc. In China, iron ore production in 2021 will increase by 65.7%, due to healthy demand, including from mechanical engineering, production and construction. The paper examines the iron ore trade. Thus, the largest exporter of iron ore with a market share of 54% is Australia, the second largest exporter is Brazil, followed by South Africa, Canada and India. In terms of imports, China alone accounts for 74% of world iron ore imports, the country's dependence on imports is 83%, which is a record. The next largest importers are Japan, South Korea, Malaysia, and Singapore. The iron ore market development forecast for the next two years has been made.