Amid volatility in most commodity markets, iron ore has been relatively stable over the past two months.

In September, the premium remained at $95 per tonne.

The agreement's focus areas include low-carbon sintering technology, blast furnace and basic oxygen furnace optimization, and carbon capture and utilization, it said.

Rio Tinto and Baowu said on Wednesday that they will set up a JV to develop the Western Range iron ore mine project in Pilbara.

During the period, Hebei's trade with countries along the Belt and Road increased 22.4 percent to 122.44 billion yuan.

Rio Tinto will account for 54 percent of the joint venture while China Baowu will account for 46 percent.

India's Federation of Indian Mineral Industries (FIMI) has urged the government to reconsider the proposal for mandatory beneficiation of low-grade iron ore, saying it is economically and technically unviable.

The fall in premiums has not come as a surprise as weak demand continues to delay settlements for third-quarter pellet premiums, particularly among Japanese mills.