Iron ore futures continued to decline on Thursday amid persistent concerns over demand, though strong domestic steel consumption helped limit losses.
The outlook for iron ore was further pressured by rising protectionist measures following the U.S. blanket tariffs on steel and aluminum imports. The European Commission also announced plans to tighten import restrictions, introducing a new safeguard system later this year to replace the current one, which expires in June 2026. These moves aim to protect the EU steel industry from a surge in redirected exports triggered by U.S. tariff hikes.
Growing trade barriers against Chinese steel products come as China’s steel exports surged to a nine-year high in 2024, the highest level since 2015. Several countries are increasingly implementing protectionist measures, which could impact steel prices and, in turn, reduce demand for steelmaking raw materials.
On the positive side, major Chinese warehouses reported a decline in finished steel inventories this week, signaling firm seasonal demand as construction activity picks up with the arrival of spring.
On the Dalian Commodity Exchange, the most-traded May iron ore contract fell 0.46pct to 762 yuan (USD 105.3) per ton, though it was still up 0.26pct from the previous morning session. Coke and coking coal futures dropped 1.17pct and 0.15pct, settling at 1,560 yuan (USD 216) and 1,031 yuan (USD 143) per ton, respectively.
On the Shanghai Futures Exchange, rebar futures rose 0.22pct to 3,176 yuan (USD 439) per ton, HRC futures inched up 0.12pct to 3,357 yuan (USD 464) per ton, and wire rod futures climbed 1.04pct to 3,415 yuan (USD 472) per ton. Stainless steel futures, however, declined 0.26pct to 13,430 yuan (USD 1,857) 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 | 3,415 |
1.04 |
0.91 |
| HRC | 3,357 |
0.12 |
0.27 |
| Rebar | 3,176 |
0.22 |
0.44 |
| Stainless Steel | 13,430 |
-0.26 |
-0.48 |
| Iron Ore | 762 |
-0.46 |
0.26 |
| Coke | 1,560 |
-1.17 |
-0.19 |
| Coking Coal | 1,031 |
-0.15 |
0.48 |