Iron ore futures rebounded on Wednesday, supported by renewed optimism in U.S.-China trade talks, although concerns about demand continued to weigh on the market.
According to media reports, negotiators from both countries have agreed on a framework to restart trade discussions, following a series of disputes that had threatened to derail progress. The positive development has lifted market sentiment, but underlying demand fundamentals remain uncertain.
Despite the breakthrough in trade negotiations between the world’s two largest economies, weakening steel demand, typical during the summer months, continues to raise concerns.
In a recent statement, the China Iron and Steel Association (CISA) projected a 4pct decline in domestic steel production for 2025. This forecast is driven by a shift away from infrastructure-heavy growth and government efforts to reduce carbon emissions. The association also urged collaboration between steel producers and automakers to resist aggressive price competition from new-energy vehicle manufacturers.
On the Dalian Commodity Exchange, the most-traded September iron ore contract rose 1pct to 707 yuan (USD 98.4) per ton. Coke and coking coal futures also saw gains of 1.31pct and 1.1pct, reaching 1,356 yuan (USD 189) and 783.5 yuan (USD 109) per ton, respectively.
Meanwhile, on the Shanghai Futures Exchange, rebar futures climbed 0.67pct to 2,991 yuan (USD 416), and HRC futures rose 0.78pct to 3,108 yuan (USD 433). Wire rod futures increased by 0.43pct to 3,307 yuan (USD 460), while stainless steel futures were up 0.48pct at 12,600 yuan (USD 1,754) per ton.
1 USD / 7.18 yuan
CHINESE STEEL FUTURES
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Date: 6/11/2025 |
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| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,307 |
0.43 |
0.36 |
| HRC | 3,108 |
0.78 |
0.61 |
| Rebar | 2,991 |
0.67 |
0.57 |
| Stainless Steel | 12,600 |
0.48 |
1.11 |
| Iron Ore | 707 |
1.00 |
1.20 |
| Coke | 1,356 |
1.31 |
0.52 |
| Coking Coal | 783.5 |
1.10 |
-0.19 |