Exports soar as domestic demand weakens

The import price averaged $108.09 a ton for the first three quarters, down $21.66 a ton year-on-year, according to the association. Iron ore prices dropped below $80 a ton in late September.

As supplies of cheaper imported ore have increased, domestic iron ore mines have had to cut production or shutter capacity.

In September, domestic iron ore output fell 0.36 percent year-on-year to 137 million tons. For the first three quarters, output was 1.12 billion tons, up 7.24 percent.

Chen Kexin, chief analyst of the Beijing-based Lange Steel Information Research Center, estimated that China will import more than 900 million tons of iron ore this year with annual growth of 15 percent.

"In 2015, China is expected to import more than 1 billion tons of iron ore to meet domestic needs," Chen said.

"If the iron ore import price drops below $70 a ton, it is possible that imports next year may reach 1.2 billion tons."

Increasing iron ore imports will lead to closures of many domestic iron ore mines, he said.

Economic woes crimp steel demand	China sees deeper iron ore price declines