Rio expects to ship 330 million metric tons of the steel-making ingredient in the 2016 financial year, the miner said on Tuesday.
"Demand for these raw materials is still very strong," Martin Place Securities executive chairman Barry Dawes told CNBC's "The Rundown."
"Imports into China are still at record levels; they haven't fallen away and consequently companies are able to deliver everything they can produce,"
In second-quarter production results released on Tuesday, Rio Tinto said its 80.9 million-ton Australian production total for Q2 was 8 percent higher than the same period a year ago and 1 percent up on the previous quarter.
According to Thomson Reuters Commodity Research and Forecasts, about 92 million tons of iron ore will arrive at ports in China in July, the highest monthly level so far this year.
The world's second largest economy accounts for some two-thirds of the world's purchases of seaborne iron ore, but China has admitted that there is massive overcapacity in its steel industry and has put in place targets for production capacity cuts over the coming five years, which would have been expected to hit demand for iron ore.