iron oreBEIJING (Commodity Online) : In an attempt to attain self-sufficiency in Iron Ore production, China has set a target to dramatically increase ore imports from Chinese-invested resources rather than other countries’ .
According to China Steel industry's 12th Five-Year Plan (2011-2015), the country will only be able to break the grip of the three major global miners — Vale SA, Rio Tinto, and BHP Billiton — if it gets half of its overseas ore requirements from Chinese-invested sources.
Iron ore imports from Australia, Brazil and India accounted for 62.3 percent last year.
According to China Iron & Steel Association, the country currently owns less than 10 percent of imported iron ore.
China has overseas mining rights capable of producing 150 million tonnes of ore annually, but most of the mines have yet to start production.
China often accused the major global mining companies of taking advantage of supply falling short of demand to set prices at unreasonably high levels, squeezing profits from Chinese Steel mills.
Last year, about 60 million tonnes of imported Iron Ore came from mines that had Chinese investment, the association said.
China has been enthusiastically seeking ore resources overseas in recent years to reduce its reliance on the big global miners.
The country's biggest steelmakers, including Baosteel, Wuhan Iron & Steel Group and Anshan Iron & Steel Group, have acquired or invested in overseas mines.
Wuhan Steel has set a goal of being self-sufficient in ore supplies by 2015