Chinese shipping companies are reportedly to have ordered 30 Valemax ships, Vale’s very large iron ore carriers (VLOC).
Delivery of the Valemaxes should start in 2018 and were reportedly ordered by Chinese shipping majors Cosco Group, China Merchants Group and ICBC Financial Leasing Co, in a combined $2.5 billion deal.
The $2.5 billion deal is expected to boost the trade between the two countries, at the same time Vale approaches the Chinese iron ore market through a deal with Fortescue, in which Vale is expected to blend and distribute the commodity in the Asian country.
Analysts said the deal could potentially attract Chinese steelmakers.
On Thursday, China's Commerce Ministry said it hadn’t received an application for regulatory approval from both Vale and Fortescue in regards to their planned JV. The ministry told Reuters it would review the deal according to the law if it received an application.