China hit out Monday at Asian steel companies which have agreed a 19 percent rise in ore prices, saying they had undermined its negotiating position.

"Individual steel groups in the region have been falling like dominoes of late and accepting unreasonably high prices for iron ore, and their concessions are putting undue pressure on the Chinese side to follow suit," the China Iron and Steel Association said on its website.

It said the Asian steelmakers who settled for the rise violated tacit regional agreements to work towards a more moderate price rise for the contract year to March 2007.

On Monday Korea's POSCO, the world's fifth largest steelmaker, became the latest to sign on to the same price increase with Anglo-Australian iron ore supplier Rio Tinto.

The announcement followed several deals signed last week by European and Japanese steel firms, which also agreed to the 19 percent price increase on annual contracts with the world's largest iron ore producers.

Rio Tinto, Brazil's Companhia Vale do Rio Doc and Anglo-Australian miner BHP Billiton produce nearly 75 percent of the world's iron ore.

In response to the signings, Chinese steelmakers on Friday held emergency talks, saying they would not abide by the rise as a benchmark and would continue to negotiate.

The association reiterated that any price which does not take into consideration China's "unique market size and condition" would be found "unacceptable" by its steel industry.

But the agreements signed by other companies now make it almost certain that Chinese steelmakers will be forced to capitulate.

Nevertheless Baosteel, the representative for the Chinese steel industry, is still in talks after it decided to take a lead role in this year's discussions in hopes of securing the lowest price possible.

In the past Japan and Europe have hammered out pricing but China, the world's largest consumer of iron ore, was keen to take a bigger role in the setting of raw material prices this year.

Last year China complained bitterly after domestic firms agreed to a 71.5 percent rise in the price of iron ore.

The iron and steel association in its latest statement lambasted "certain regional steel mills", accusing them of negotiating "in a spirit of individualism."

"Their deportment in the recent negotiations is ill-advised and treats China unfairly, and is placing great pressure on our negotiating position," it said.