Iron Ore
Steel production is slowing, and demand for iron ore on the Great Lakes reacted accordingly in September. Shipments totaled 6 million net tons, a decrease of 4.8 percent compared to a year ago.
Lack of adequate dredging affected the efficiency of iron ore deliveries on the Lakes in September. The largest iron ore cargo loaded during the month totaled less than 65,000 net tons. When high water levels offset the shortfall in dredging in the late 1990s, the same vessel was able to carry nearly 71,000 net tons of iron ore in a single trip.
High water levels are, however, no longer a factor. Lake Superior’s water level has been in a virtual free fall and verges on shattering record lows set in 1925. Water levels on the Lakes normally decline in the fall, but the plunge on Lake Superior is almost without precedent.
As of the end of September, the Lakes iron ore trade stood at 43.3 million net tons, an increase of 5 percent compared to both a year ago and the 5-year average for the first three quarters. These vessels carry the raw materials that drive the nation’s economy: Iron ore and fluxstone for the steel industry, limestone and cement for the construction industry, coal for power generation.
Collectively, these vessels can transport as much as 125 million tons of cargo a year when high water levels offset the lack of adequate dredging of Great Lakes ports and waterways.
December 21, 2006 7:28 AM | Category: Great Lakes