Iron ore futures fell on Tuesday as market sentiment remained cautious amid an uncertain demand outlook.
Concerns over demand were heightened by rumors that some Chinese cities may introduce steel production cuts for environmental reasons, dampening market confidence. Additionally, rising inventories of major finished steel products in key Chinese warehouses signaled weak downstream demand. Iron ore stockpiles at major Chinese ports also increased on a weekly basis, further weighing on sentiment.
The China Iron and Steel Association (CISA) also issued a warning calling for export control measures to curb billet exports, adding to the market’s unease. China exported 4.7 mln tons of steel billet in the first five months of the year, a sharp 306pct increase YoY, raising concerns amid growing global protectionist measures against Chinese steel.
Reflecting cautious market sentiment, major steelmaker Shagang opted to keep long steel prices unchanged for sales during the first 10 days of July.
On the Dalian Commodity Exchange, the most-traded September iron ore contract dropped 1.32pct to 708.5 yuan (USD 98.8) per ton. Coke and coking coal futures also fell, down 2.46pct and 3.32pct to 1,388.5 yuan (USD 194) and 814.5 yuan (USD 114) per ton, respectively.
On the Shanghai Futures Exchange, rebar futures edged down 0.2pct to 3,003 yuan (USD 419) per ton, while HRC rose slightly by 0.06pct to 3,136 yuan (USD 438). Wire rod declined 0.39pct to 3,315 yuan (USD 463), and stainless steel futures dropped 0.87pct to 12,560 yuan (USD 1,752) per ton.
1 USD / 7.16 yuan
CHINESE STEEL FUTURES
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Date: 6/30/2025 |
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| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,315 |
-0.39 |
-0.12 |
| HRC | 3,136 |
0.06 |
0.41 |
| Rebar | 3,003 |
-0.20 |
0.20 |
| Stainless Steel | 12,560 |
-0.87 |
-0.40 |
| Iron Ore | 708.5 |
-1.32 |
-0.99 |
| Coke | 1,388.5 |
-2.46 |
-1.12 |
| Coking Coal | 814.5 |
-3.32 |
-1.29 |
