Value-in-use iron ore costs Q2 2025 Report

Insight 09 June 2025

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*Please note that this report only includes an Excel data file if this is indicated in "What's included" below

Report summary

The average global value-in-use (VIU) iron ore cost for Q2 2025 is US$58.5/t (62% Fe fines basis, CFR China). This cost is up 5.3% from Q1 2025 and down 1.6% compared to the same period in 2024. Although the weakening US dollar index in the second quarter has had a positive impact on the cost in US dollars, a strong dollar in 2025 will offset increases in costs denominated in local currencies. We have updated Australian, Brazilian and Canadian iron ore costs for Q2 2025.

Executive summary
Lump and pellet premiums decline slightly in Q2 2025
Fines and impurities
Cash margins of Australia and Brazil to shrink in Q2 2025
China’s costs and supply
VIU assumptions

Tables and charts

This report includes the following images and tables:

Q2 2025 VIU adjusted cost by country (CFR China)
Q2 2025 VIU adjusted cost by percentile (CFR China)
Q2 2025 seaborne iron ore cash costs by operator (CFR China, unadjusted for quality)
Q2 2025 seaborne iron ore cash costs by operator (CFR China, 62% Fe fines equivalent)
Q2 2025 China value-in-use adjusted cost curve (62% Fe fines equivalent)