According to a new report issued by the China Iron and Steel Association (CISA), amid oversupply in the iron ore market and the environmental protection measures in China, iron ore prices will likely continue to indicate some fluctuations in the coming period.
According to the CISA, as of August 31 this year, iron ore inventory held by major Chinese steel enterprises amounted to 43.92 million mt, up 3.38 percent month on month, while imported iron ore inventory at Chinese ports totaled 105.40 million mt, down 3.24 million mt month on month and rising by 24.81 million mt year on year.
In August this year, China stepped up its implementation of production restrictions in order to ensure better environmental conditions for the Tangshan International Horticulture Exposition (April 29-October 16) and the G20 Hangzhou summit (September 4-5), resulting in some decreases in the outputs of domestic steel enterprises. Against the backdrop of the imbalance between supply and demand in the iron ore market, it is thought that iron ore prices will likely continue to indicate some fluctuations in the coming period.