The seaborne iron ore price hit more than six-year high Aug. 18, due to supply shortness of medium grade fines and a strong demand recovery in China post-pandemic.

A near-50pc surge in iron ore prices over the past three months has lifted the product's share of Chinese steel costs to an all-time high.

Future mining investment is expected to ease as a result of less work on iron ore and coal projects, along with the deferral of final investment decisions on some large LNG projects, Australia's central bank said.

By July 25, 2020, the cumulative export volume of Indonesian steel and iron ore in this year has reached 4 billion US dollars.

They come from coal, iron ore, nickel ore and grain exporters, such as Australia, Indonesia and the Philippines.

Dalian Commodity Exchange limits iron ore trade volume on September, January contracts.

Western Australian (WA) iron ore developer Strike Resources plans to start shipping lump and fines from its Paulsens East iron ore project in the Pilbara next year.

The iron ore price is project to drop to $55/t fob by the end of this year's final quarter, the Australian treasury said.