Vale Prepares for Possible Panda Bond Issuance as Soon as This Year

Brazilian iron ore giant Vale is considering entering China’s bond market as soon as this year, which could make it the first company to issue a panda bond after the Brazilian government. According to Sina Finance, Chief Financial Officer Marcelo Bacci said the move into China’s bond market is "a natural thing," and added, "We are preparing for it." He said Vale could still issue a panda bond in 2026. China is Vale’s main buyer of iron ore and accounts for about half of the company’s revenue. Bacci also said China’s onshore bond market remains at an early stage for international issuers, with individual offerings typically ranging from $400 million to $500 million and maturities that are relatively short. Meanwhile, the Brazilian government plans to issue its first panda bond as soon as this year, raising about 10 billion yuan to broaden financing channels and reduce reliance on dollar debt.