Industry Analysis & Industry Trends
Over the five years through 2015-16, the Iron Ore Mining industry's revenue is expected to decrease at an annualised 4.1% to $52.1 billion. Early in the five-year period, strong economic growth in China led to increased iron ore mining development and drove greater steel production. This fuelled demand for iron ore and contributed to high world iron ore prices. Following a revenue decline in 2012-13, due to reduced Chinese demand, industry revenue rebounded in 2013-14 on the back of a weaker Australian dollar, higher output, low Chinese inventories and increased Chinese steel output.
However, iron ore prices (denominated in US dollars) started falling in mid-2014 due to a global oversupply... purchase to read more
Industry Report - Industry Locations Chapter
The geographic spread of iron ore revenue and output reflects the location of the mineral resource. Nearly all of Australia's iron ore is mined in Western Australia (about 98.7% of industry revenue estimated in 2015-16) and a high proportion of this output is exported. Small quantities of iron ore are mined in South Australia (about 1.0% of industry revenue estimated in 2015-16), with production used by local steel producers as well as destined for export markets. The balance is from Tasmania.
The importance of South Australia had increased in the past decade, due to a decision by Arrium Limited (formerly known as OneSteel Limited) to develop and mine a magnetite iron ore resource in that state... purchase to read more