Iron ore futures continued to decline on Wednesday as concerns over steel demand persisted following weak property data and rising trade protectionism against Chinese steel products.
According to China’s National Bureau of Statistics (NBS), new construction starts by floor area dropped 29.6pct in January-February, following a 23pct decline in 2024. This deepened worries about steel demand.
Additionally, increasing trade barriers against Chinese steel weighed on market sentiment. Taiwan has maintained anti-dumping duties on Chinese cold-rolled stainless steel, while India’s trade regulator recommended a 12pct safeguard duty on flat steel imports. Other major markets, including Vietnam and South Korea, have also imposed tariffs on some Chinese steel products, potentially impacting exports this year. Meanwhile, China continues to face ongoing trade tensions with the U.S.
On the Dalian Commodity Exchange, the most-traded May iron ore contract fell 2.12pct to 760 yuan (USD 105.1) per ton, while coke and coking coal futures dropped 2.68pct and 2.98pct, settling at 1,563 yuan (USD 216) and 1,026 yuan (USD 142) per ton, respectively.
Over on the Shanghai Futures Exchange, rebar futures declined 1.19pct to 3,162 yuan (USD 437) per ton, HRC futures fell 0.74pct to 3,348 yuan (USD 463) per ton, and wire rod futures dipped 0.68pct to 3,384 yuan (USD 468) per ton. Stainless steel futures remained largely unchanged, closing the morning session at 13,495 yuan (USD 1,866) per ton.
1 USD / 7.23 yuan
| Material | Closing Price (in yuan) |
Difference from Night Session (pct) |
Difference from Previous Morning Session (pct) |
| Wire Rod | 3,384 |
-0.68 |
-0.56 |
| HRC | 3,348 |
-0.74 |
-0.66 |
| Rebar | 3,162 |
-1.19 |
-0.92 |
| Stainless Steel | 13,495 |
-0.07 |
0.26 |
| Iron Ore | 760 |
-2.12 |
-2.24 |
| Coke | 1,563 |
-2.68 |
-2.69 |
| Coking Coal | 1,026 |
-2.98 |
-2.19 |