Iron ore futures edged higher on Wednesday, supported by firm near-term demand, though the broader outlook remains uncertain due to steel production curbs by some Chinese mills.
Chinese steelmakers have ramped up output amid improved profit margins and expectations of stronger demand in the spring, a season typically marked by increased construction activity. Daily crude steel production among members of the China Iron and Steel Association (CISA) averaged 2.7 mln tons between March 11-20, 2025, reflecting a 1.6pct rise from early March.
Despite this, long-term prospects remain uncertain as Beijing continues its push to curb steel overcapacity. Several steel mills in Xinjiang have voluntarily reduced output by 10pct, with speculation that similar cuts could follow in other regions.
On the Dalian Commodity Exchange, the most-traded May iron ore contract rose 0.19pct to 780 yuan (USD 107.4) per ton. Coke futures climbed 1.35pct to 1,615.5 yuan (USD 223), while coking coal futures dipped slightly by 0.05pct to 1,025.5 yuan (USD 141) per ton.
Over on the Shanghai Futures Exchange, rebar futures edged up 0.06pct to 3,209 yuan (USD 442) per ton, and HRC futures gained 0.12pct to 3,386 yuan (USD 467) per ton. Wire rod futures declined 0.35pct to 3,429 yuan (USD 472) per ton, while stainless steel futures rose 0.37pct to 13,410 yuan (USD 1,848) per ton.
1 USD / 7.25 yuan
| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,429 |
-0.35 |
-0.26 |
| HRC | 3,386 |
0.12 |
0 |
| Rebar | 3,209 |
0.06 |
-0.34 |
| Stainless Steel | 13,410 |
0.37 |
0.41 |
| Iron Ore | 780 |
0.19 |
0.51 |
| Coke | 1,615.5 |
1.35 |
1.45 |
| Coking Coal | 1,025.5 |
-0.05 |
-0.15 |