SHANGHAI/BEIJING, July 17 (Reuters) - China's monthly iron ore output leapt by a quarter to the second highest ever in June as demand for steel strengthened and prices rose, while steel production hit an all-time peak, official data showed on Friday.
The 27 percent jump in iron ore output, to 83.3 million tonnes, will reassure local steel mills that are facing uncertainty over imports of iron ore because of the furore over allegations of spying levelled at Rio Tinto (RIO.AX) employees involved in China's annual price negotiations.
China was expected to settle iron ore prices with Rio and its Anglo-Australian rival BHP Billiton (BHP.AX) at the end of last month, but the two sides failed to strike a deal before the talks became subsumed in the spying row involving Rio.
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