Latin America and the Caribbean: Iron Ore Market 2024

Iron Ore Market Size in Latin America and the Caribbean

In 2021, the Latin American iron ore market decreased by -9.5% to $X for the first time since 2018, thus ending a two-year rising trend. Overall, consumption showed a deep contraction. Over the period under review, the market hit record highs at $X in 2012; however, from 2013 to 2021, consumption stood at a somewhat lower figure.

Iron Ore Production in Latin America and the Caribbean

In value terms, iron ore production declined to $X in 2021 estimated in export price. Over the period under review, production, however, saw a abrupt shrinkage. The pace of growth was the most pronounced in 2020 with an increase of 5%. Over the period under review, production hit record highs at $X in 2012; however, from 2013 to 2021, production stood at a somewhat lower figure.

Iron Ore Exports

Exports in Latin America and the Caribbean

After two years of decline, overseas shipments of iron ores and concentrates increased by 7.9% to X tons in 2021. The total export volume increased at an average annual rate of +1.0% over the period from 2012 to 2021; the trend pattern remained relatively stable, with somewhat noticeable fluctuations being observed throughout the analyzed period. The growth pace was the most rapid in 2016 with an increase of 40% against the previous year. Over the period under review, the exports reached the maximum at X tons in 2018; however, from 2019 to 2021, the exports failed to regain momentum.

In value terms, iron ore exports soared to $X in 2021. Over the period under review, exports posted temperate growth. As a result, the exports attained the peak and are likely to continue growth in the immediate term.

Exports by Country

Brazil dominates exports structure, recording X tons, which was near 90% of total exports in 2021. Chile (X tons) and Peru (X tons) followed a long way behind the leaders.

From 2012 to 2021, average annual rates of growth with regard to iron ore exports from Brazil stood at +1.0%. At the same time, Chile (+3.9%) and Peru (+2.9%) displayed positive paces of growth. Moreover, Chile emerged as the fastest-growing exporter exported in Latin America and the Caribbean, with a CAGR of +3.9% from 2012-2021. The shares of the largest exporters remained relatively stable throughout the analyzed period.

In value terms, Brazil ($X) remains the largest iron ore supplier in Latin America and the Caribbean, comprising 90% of total exports. The second position in the ranking was held by Chile ($X), with a 5.1% share of total exports.

From 2012 to 2021, the average annual rate of growth in terms of value in Brazil stood at +4.1%. In the other countries, the average annual rates were as follows: Chile (+7.3% per year) and Peru (+3.8% per year).

Export Prices by Country

In 2021, the export price in Latin America and the Caribbean amounted to $X per ton, surging by 59% against the previous year. Overall, the export price showed tangible growth. As a result, the export price reached the peak level and is likely to continue growth in the immediate term.

Average prices varied noticeably amongst the major exporting countries. In 2021, amid the top suppliers, the country with the highest price was Chile ($X per ton), while Brazil ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Chile (+3.3%), while the other leaders experienced more modest paces of growth.

Iron Ore Imports

Imports in Latin America and the Caribbean

After two years of decline, supplies from abroad of iron ores and concentrates increased by 35% to X tons in 2021. Over the period under review, imports, however, continue to indicate a pronounced slump. The volume of import peaked at X tons in 2014; however, from 2015 to 2021, imports stood at a somewhat lower figure.

In value terms, iron ore imports soared to $X in 2021. In general, imports, however, saw a relatively flat trend pattern. The level of import peaked at $X in 2014; however, from 2015 to 2021, imports remained at a lower figure.

Imports by Country

Argentina was the key importer of iron ores and concentrates in Latin America and the Caribbean, with the volume of imports recording X tons, which was approx. 54% of total imports in 2021. It was distantly followed by Trinidad and Tobago (X tons), Uruguay (X tons) and Mexico (X tons), together constituting a 32% share of total imports. The following importers - Saint Lucia (X tons), Chile (X tons) and Brazil (X tons) - each amounted to a 9.1% share of total imports.

Imports into Argentina increased at an average annual rate of +2.8% from 2012 to 2021. At the same time, Brazil (+121.3%), Chile (+72.9%) and Uruguay (+23.7%) displayed positive paces of growth. Moreover, Brazil emerged as the fastest-growing importer imported in Latin America and the Caribbean, with a CAGR of +121.3% from 2012-2021. By contrast, Trinidad and Tobago (-11.8%), Mexico (-12.3%) and Saint Lucia (-26.1%) illustrated a downward trend over the same period. While the share of Argentina (+21 p.p.), Uruguay (+5.9 p.p.), Saint Lucia (+3.2 p.p.), Chile (+3.2 p.p.) and Brazil (+2.7 p.p.) increased significantly in terms of the total imports from 2012-2021, the share of Mexico (-7.9 p.p.) and Trinidad and Tobago (-29.3 p.p.) displayed negative dynamics.

In value terms, Argentina ($X) constitutes the largest market for imported iron ores and concentrates in Latin America and the Caribbean, comprising 59% of total imports. The second position in the ranking was held by Trinidad and Tobago ($X), with a 23% share of total imports. It was followed by Saint Lucia, with a 5% share.

In Argentina, iron ore imports expanded at an average annual rate of +6.4% over the period from 2012-2021. In the other countries, the average annual rates were as follows: Trinidad and Tobago (-9.4% per year) and Saint Lucia (+0.3% per year).

Import Prices by Country

In 2021, the import price in Latin America and the Caribbean amounted to $X per ton, jumping by 32% against the previous year. Import price indicated a moderate expansion from 2012 to 2021: its price increased at an average annual rate of +2.2% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, iron ore import price increased by +85.1% against 2016 indices. As a result, import price reached the peak level and is likely to continue growth in the immediate term.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Saint Lucia ($X per ton), while Uruguay ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Saint Lucia (+35.9%), while the other leaders experienced more modest paces of growth.

Source: IndexBox Platform

Frequently Asked Questions (FAQ) :