But of late, China is reducing its iron ore dependence on India, lowering its imports by about two thirds, or about US$160 billion worth. The Indians increased export duties on iron ore by 50%, which the Chinese find it exhorbitant and is diversifying its imports to cheaper sources. Now this is big loss for India by being too greedy.
China is instead buying more ore from Australia, Brazil (a member of the BRICS) and developing mines in Guinea (a potential BRICS member) and other sources as well.
Now, why is China making this move. In my humble opinion it has also to do with India now closing ranks with the USA, and with China lock in dispute with India over the borders, China is not waiting to be left in the lurch should the snakes decide to sanction iron ore exports to China. It is not impossible, and it will be a matter of grave concern, since China needs much more iron ore to fuel domestic and overseas demand for steel for infrastructure developments. Overdependence on Australia, close allies of the USA and India, is also a dangerous issue for China.
China learned a costly lesson over the semiconductor and chips industry sanctions orchestrated by the USA, and it not about to repeat the same mistake. China is going all out to be self-reliant and diversify its supply of raw materials as widely as possible. Africa is now the safest and most reliable supply chain for China to build up its raw material dependence in the long term. China already spent decades building up Africa, and is now reaping its just benefits.