With shipping costs two or three times those incurred by the Australian-based miners Rio Tinto and BHP Billiton, Brazil-based Vale is now accelerating its steps to establish port facilities in China and to buy carriers.
This is an attempt to build up a logistics system for its iron ore, reduce transportation costs and increase its competitiveness in the Chinese market.
Alibaba.com reports that although it is actively engaged in its construction plans, Vale does not as yet appear to have started negotiations with the Chinese mills.