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7 Pages

Iron ore cost cuts in Australia and China, but will it last?

Iron ore cost cuts in Australia and China, but will it last?

Report summary

Iron ore producers in Australia and China have been forced to reduce costs in view of low commodity prices. Companies have undertaken various means to cut costs under difficult market conditions. The Average Australian FOB cost has dropped from US$29.3/tonne in 2014 to US$21.8/tonne in 2015. Savings have been realised in the areas of low diesel prices, labour, operations and government support.

What's included?

This report includes 2 file(s)

  • Iron ore cost cuts in Australia and China, but will it last? PDF - 321.34 KB 7 Pages, 2 Tables, 3 Figures
  • All data.xls XLS - 168.50 KB


This Metals Insight report highlights the key issues surrounding this topic, and draws out the implications for those involved.

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  • Executive summary
  • Cost saving measures in Australia and China
    • Diesel prices
    • Labour
    • Operational
    • Government support
  • Australian mid-tiers under pressure in 2016
  • Conclusion

In this report there are 5 tables or charts, including:

  • Executive summary
  • Cost saving measures in Australia and China
    • Australian and Chinese mining cost per tonne
    • Comparison of cost saving initiatives in Australia and China
  • Australian mid-tiers under pressure in 2016
    • Cost drivers for mid-tier Australian producers
    • Required transport and port cost reductions for 2016
    • Required transport and port savings for high-cost Australian producers
  • Conclusion
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