Chinese Ministry of Commerce said Tuesday in a report that average iron ore price in China fell by 12.2 percent throughout August to 1,370 yuan per ton at the end of the month. It also holds that there is still room for the price to fall further.

    The ministry attributed to price fall in August mainly to weak demand and fast increase of supply.

    Statistics show that China's domestic iron ore supply in the first seven months of this year reached 460 million tons, up 23.1 percent on year. Its imports in the period hit 270 million tons, up 21.8 percent on year.

    The ministry also noted that lured by lucrative mining, the urban investment in ferrous metals mining and dressing in H1 soared 59.1 percent on year to 25.244 billion yuan, with the growth rate 58. 6 percentage points higher than that for the year earlier period.

    On August 25, China's top steel maker Baosteel lowered its ex-factory steel prices for Q4, which is an indication of weak demand from downstream industries.