RICHARD McGREGOR & PETER CAI
For a China determined to punish Australia, the windfall gains delivered to Canberra from surging iron ore prices are intolerable.
To call it ironic doesn’t quite capture the moment. Just as Beijing is punishing Australia with trade sanctions, sales of the one commodity the Chinese can’t target, iron ore, are delivering billions in windfall gains to miners, their shareholders and the government in Canberra.
Iron ore exports have broken records for volumes and prices in recent months, largely because of the strong rebound in the Chinese economy and the lack of alternative suppliers for the country’s steel makers.
Read the rest on Australian Financial Review [paywall].
