What 62% Fe means
Fe is the chemical symbol for iron. A 62% Fe benchmark prices ore that is 62% iron by weight, with specified levels of silica, alumina, phosphorus and moisture. USGS reports the 62% Fe fines benchmark delivered to north China averaged about $99 per tonne in the first nine months of 2025, against about $112 in the same period of 2024.
How a cargo's price is adjusted
A cargo is rarely exactly the benchmark specification. Iron content above the base earns a premium per percentage point, and content below takes a discount. Silica, alumina and phosphorus above the base level are penalised, and moisture is specified. The adjustment rates are published by the price reporters and change with the market, so a contract should say which publisher's differentials apply and for which period.
For lump ore, Platts assesses a lump premium over a strip of 61% Fe fines. In January 2026 it moved its lump baseline to 62% Fe, with 4% moisture, 3.5% silica, 1.7% alumina, 0.09% phosphorus and 0.02% sulphur.
Why the benchmark is changing
Reports say mined grades have declined, so the 62% reference no longer matches much of what is traded. Platts and SGX announced that the benchmark for their futures contracts changes from 62% Fe to 61% Fe for new and open contracts expiring from January 2026 onwards, and Argus launched a 61% Fe index alongside its 62% benchmark. Reports from mid-2026 describe the 62% benchmark as trading in a contained range, and the 61% futures in a narrow band near $99 to $100 a tonne. Check a live source for current levels.
For a buyer or seller, the practical point is to write the benchmark grade into the contract, not just 'the iron ore price', and to check which index and which grade the differentials are quoted against.
Shipping iron ore fines
Iron ore fines are a Group A cargo under the IMSBC Code. If they are loaded with moisture above their transportable moisture limit, the cargo can liquefy and shift, so the shipper must declare the moisture content and the limit before loading. The iron ore guide covers the specification and the shipping rules.
Related calculators
Frequently asked questions
What is the 62% Fe iron ore price?
The price of iron ore fines with a base iron content of 62%, delivered to China, published by price reporters. USGS reported about $99 per tonne for the first nine months of 2025.
Why is there a 61% Fe benchmark?
Mined grades have declined, so the 62% reference matches less of the market. Platts and SGX moved their futures benchmark to 61% Fe for contracts expiring from January 2026, and Argus launched a 61% Fe index.
How are impurities treated in iron ore pricing?
Silica, alumina and phosphorus above the base level are penalised, and moisture is specified. The rates are set by the price reporters and the contract.
Does the 62% Fe price apply to lump ore?
Lump trades at a premium to fines. Platts assesses the lump premium over a strip of 61% Fe fines.
Sources
- USGS Mineral Commodity Summaries 2026: Iron Ore
- Mining.com: explaining the iron ore grade shift
- Argus: what do changing iron ore grades mean for the pricing mechanism
- Kpler: the real iron ore story is who sets the price
- Platts: updates to seaborne CFR China iron ore lump quality specifications (January 2026)
Specifications published by index providers are revised over time. Where a figure comes from a pricing notice, confirm the version currently in force with the publisher before you use it in a contract. Corrections are welcome.