Iron ore price negotiations

Every year, the world's major iron ore suppliers negotiate with their buyers. Brazil's Vale is currently the world's biggest iron ore supplier. The second largest is Rio Tinto, a company headquartered in Britain and listed in both Britain and Australia.

It is also China's largest iron ore import source. The world's largest mining company, BHP Billiton, is also the third biggest iron ore supplier, and is listed in Australia, Britain and the United States.

Chinese steel mills are now cooperating with smaller iron ore suppliers such as Australia's FMG. It has signed deals with 35 Chinese companies under which it will export nearly 100 million tons of ore to China each year.