Industry Analysis & Industry Trends
After a period of major highs and lows, revenue for the Iron Ore Mining industry is expected to experience steady growth over the next five years. Through 2019, production and profit are expected to increase, supported by strong demand for steel from emerging economies and the strengthening of the US economy. However, the price of iron ore is projected to drop in three of the next five years, threatening growth... purchase to read more
Industry Report - Industry Investment Chapter
The Iron Ore Mining industry is highly capital intensive, as substantial amounts of capital are invested in heavy equipment necessary for mining activities. The ratio of labor costs to depreciation charges is indicative of an industry's labor and capital intensities, as this shows the amount of revenue absorbed by labor inputs and capital inputs into production. Overall, for every dollar spent on labor, industry operators spend about $1.14 on capital investments.
High capital intensity arises from the nature of the mining process, which requires significant investment in large-scale earth-moving and processing equipment such as electric shovels and conveyors... purchase to read more