Rising demand for lower quality iron ore has offset the premiums that were put on higher grade ore , as price corrections in the Chinese spot market for coal and iron ore took place in November . A weakening of raw material inputs , silica and alumina , in November have decreased the cost of lower grade ores , while the price of higher grade 65 % iron ore has fallen 15 % from its peak of $ 97.25 / ton on 1 November . High-grade spot volume remain relatively strong, off spot trade levels earlier. At the height of the difference in spread , high grade iron ore held a premium of 39 % over benchmark 62 % ore in mid - July .
Rising demand for lower quality iron ore has offset the premiums that were put on higher grade ore , as price corrections in the Chinese spot market for coal and iron ore took place in November . A weakening of raw material inputs , silica and alumina , in November have decreased the cost of lower grade ores , while the price of higher grade 65 % iron ore has fallen 15 % from its peak of $ 97.25 / ton on 1 November . At the height of the difference in spread , high grade iron ore held a premium of 39 % over benchmark 62 % ore in mid - July .