Japanese steel companies will buy iron ore from Brazilian mining giant, Vale, at almost double the cost it paid last year.
Japanese steel makers will purchase iron ore from the Brazilian company at a price of 110 US dollars per ton, that's about twice as much as 2009's price.
The new price will come into effect next month. The contract term has been shortened from one year to three months.
Japanese media reports the country's steel makers are also in talks with Australian iron-ore giants Rio Tinto and BHP Billiton and are likely to agree on the same price.
