Abstract: China′s rapid economic development，greatly increased the demand for resources commodity.Since 2003，China became the largest iron ore importer in the world，but has no power of making price and voice in the international iron ore trade market.The reason that this happened is highly connected with current international iron ore market structure and market power.From the angle of industrial organization theory，the main concepts were introduced，such as market concentration and Lerner index，and the international iron ore market structure and market power were studied.The international iron ore market pricing model and its forming process were reviewed.Combining with the current situation of the development of China′s iron ore market， some strategies were put forward such as broadening the import channel and establishing a diversified supply system; From the angle of resource safety，a sound system of iron ore reserves should be built; Integration of domestic iron ore market can strengthen cooperation between enterprises; Integration of the domestic iron and steel enterprises can improve market concentration; Meanwhile，the development of iron ore futures market should be sped up as well.

Key words: Iron ore, Market structure, Market power, Competitive strategy