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| Iron ore prices |
Chinese Manufacturing Slowdown Weighs on Iron Ore Price
Iron ore price fell sharply amid continued weakness in China's industrial sectors. The Focus Keyphrase Iron Ore Price declined across major exchanges on Tuesday. On China’s Dalian Commodity Exchange, the September contract dropped 1.32% to 708.5 yuan per ton. Singapore’s benchmark August contract lost 0.98%, closing at $93.1 per ton. Persistent contraction in China’s manufacturing, now three months in a row, reduced global demand forecasts.
Steel Billet Exports Surge Amid Export Warnings
Steel billet exports from China tripled in the first five months of 2025. The China Iron and Steel Association urged a cap on exports to maintain domestic balance. Australia’s government warned of weak price trends due to global demand uncertainty. Meanwhile, Australia and Brazil’s iron ore shipments fell 7.4% in late June, reversing prior gains. DCE-listed coking coal and coke prices also dropped 3.32% and 2.46% respectively, signaling softening in key inputs.
Steel Prices Slip Across Major Products
Steel benchmarks on the Shanghai Futures Exchange mostly declined. Rebar fell 0.2%, wire rod dropped 0.39%, and stainless steel lost 0.87%. Only hot-rolled coil showed minimal growth, gaining 0.06%. This broad decline in steel inputs and outputs may influence global scrap market sentiment. The slump underscores macroeconomic pressure on steel-intensive sectors and raw material flows.
ScrapInsight Commentary
The recent iron ore price slide signals a global supply-demand rebalancing, led by weak Chinese consumption. Scrap stakeholders should monitor billet export controls and reduced ore shipments from Brazil and Australia. Steel mill utilization rates and policy responses in China will shape near-term market direction.
