Brazil's Vale seeks price hike for Asian clients

Companhia Vale do Rio Doce, the world's largest iron ore miner, said it is negotiating price increases with its clients in Asia to put them at the same rate as European customers.

The Rio de Janeiro-based firm said reference prices for Asian clients are 11 percent to 11.5 percent less than those charged European clients depending on the type of iron ore that is purchased.

In a statement, the Brazilian company said the talks are ongoing and there is no guarantee it will succeed.

However, if it is successful, Vale said the price hike would translate into an estimated revenue increase of less than 3 percent of the $35.5 billion revenue Vale posted for a 12-month period that ended June 30.

Vale's shares fell a dollar, or 4.4 percent, at $21.73 at midday Tuesday.