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China rattles its sabre, but still needs Aussie ore

Despite simmering tensions between the two nations, China's insatiable appetite for iron ore is aiding Australia's economic recovery and that demand is expected to sustain momentum into the next year. While China has blocked Australian lobster, beef, timber and more recently wines in their latest trade spat, its iron ore demand is keeping the island nation's economy humming. Iron ore led Australia's export growth of 5.4% in October, when the world's largest supplier of iron ore notched up its 34th consecutive monthly trade surplus, latest official data shows.