The Study On The Impact Of Large Scale Ship On Iron Ore Supply Chain

China is the biggest importor in world iron ore market. Nowadays, the iron ore import price has been increasing substantially and it has sqeezed the profit space of domestic steel mills and has put great pressure on their business. Meanwhile, we are facing the losing of transportation for iron ore import to foreign shipping companies or cargo owners. However, the financial crisis in2008had left a shipping market with over transportation capacity and more shipping service supply. Under this fierce circumstance, the biggeast iron ore producer in the world begins to build very-large ore ships to make VLOC fleet.To study the impact of large bulk ships on domestic iron ore supply chain, this paper combines the analysis of Chinese shipping market and iron ore market with supply chain risk analysis, game theory and cost analysis method to investigate the iron ore producer’s large scale ship’s effect on steel industy, shipping industry, and port distribution from different respects. At last, it comes to a conclusion about the large ship’s effect on our iron ore import safety and the stratagies to improve supply chain import security.From the analysis, we can get a sound knowledge about how bulk ship scale up can affect our steel mills, shipping industry and port industry. From quality and quantify aspect this article get the impact on the whole development of iron ore supply chain. How to fulfill iron ore import security under bulk ship scale up has been studied systematically and lead to the counterplan to promote shipping industry and other industy cooperation.