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In response to this, industrial customers for iron ore are asking for shorter iron ore shipment contracts that are priced closer to the spot market prices.
FORBES: Rio Tinto Stock Worth $82 Despite Iron Ore Price Volatility
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As predicted, otherwise uniform cloud cover in these areas was streaked with bright plumes emanating from the industrial sites in question (ore smelters, oil refineries and power stations).
ECONOMIST: Weather and pollution
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Already, China is Australia's biggest market for iron ore, to fuel its industrial expansion.
ECONOMIST: Not quite a love-in, but too important for a dust-up
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One reason, argues Ian Maxwell of Schroder Salomon Smith Barney, an investment bank, is that only the biggest firms can afford to get over the high barriers to entry in the high-return, low-risk niches of the mining business: iron ore, alumina, diamonds and industrial minerals.
ECONOMIST: Mining
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China has long had an eye on Australia's iron ore, a vital fuel for its industrial expansion.
ECONOMIST: Australia and China
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Freight business includes transport of bulk mineral commodities, including iron ore, agricultural products, mining and industrial inputs and general freight throughout Queensland and Western Australia.
FORBES: Aurizon Holdings
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Strong FAI is bullish for commodities demand as increased industrial activity and construction gobbles up more cement, iron ore, crude oil and copper.
FORBES: China Bull Still Runs Strong Even If Slower
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The other significant industrial user is iron and steel production, though iron ore and various other metals used to make alloys are also significant costs.
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China is the incremental buyer of industrial commodities (here is a factoid: it is responsible for two-thirds of global demand for iron ore), so even if we have inflation, commodity prices will still decline with plummeting demand when China cuts back.
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