Rio Tinto cuts metal prices

Mining giant Rio Tinto cut its iron ore prices for supplying Japan by a third yesterday, as the commodities market shows little sign of recovery. The pricing will set the tone for other sellers like BHP Billiton and other big Asian buyers.<br /><br />The deal between Rio and Nippon Steel, the Japanese producer, comes after months of talks and is part of the process by which Rio, BHP and Vale, the three big Iron-Ore miners, set prices with the steel industry in Japan, Korea, Taiwan and China. But China, the biggest iron ore importer, is demanding an even bigger price cut in the metal.