Iron ore price impact following the tragic tailings dam failure

Three weeks since the tragic tailings dam failure at Corrego do Feijao, Minas Gerais, there are still more questions than answers regarding immediate market impact and longer-term industry-wide implications. Before saying anything definitive on the short and long-term issues, further clarity is needed from the Brazilian authorities regarding the scale and timeline for enforced decommissioning of upstream tailings dams. In this Insight, we offer provisional comments on the potential impact on various segments of the seaborne iron ore and metallurgical coal markets.