Reuters cited Mr Li Yizhong Minister of Industry and Information Technology as saying that China, the world's largest iron ore consumer should have more influence in shaping global iron ore trade.

Mr Li called for more domestic support for the China Iron and Steel Association that is leading price negotiations with global miners and he urged an end to in fighting between companies that has helped push up spot prices to above USD 100 per tonne.

He said that "As the world's largest iron ore importer. China should have some say in iron ore trade. But I think we don't have enough influence now."

Mr Li said "We hope global miners will look at long term interests and long term cooperation with the Chinese steel sector. He said that current spot iron ore prices have risen sharply and China hopes to see what it considers an appropriate relationship between spot and term iron ore prices.”

Mr Li said as China furthers restructuring and consolidation and with its steel sector facing severe over capacity, China demand for ore should pull back from the rapid expansion seen in recent years.

Mr Li's remarks came as China remains deadlocked in price negotiations with foreign ore suppliers including Australia's Rio and is seeking a better price than agreed with other Asian steel mills.

(Sourced from Reuters)