- NEWS Desk Global
CHINA MARCH IRON ORE IMPORTS EDGE UP, STEEL EXPORTS NEAR 8-YEAR HIGH
In March, China's iron ore imports saw a slight increase of about 0.5% compared to the same period last year, as indicated by customs data released on Friday. This rise follows expectations of heightened demand post the Lunar New Year holiday, during which steelmakers typically boost production. According to the General Administration of Customs, China, the world's largest consumer of iron ore, imported 100.72 million metric tons of this crucial steelmaking ingredient in March. This figure marks a rise from the 97.51 million tons imported in February and the 100.23 million tons imported in March 2023.
Analyst Chu Xinli, based in Shanghai at China Futures, suggests that the relatively high import levels were likely driven by anticipation of increased production by steel mills in March, thereby boosting demand for ore. However, actual demand turned out to be weaker than expected, leading to a surplus in portside stocks and a significant decline in prices. By the end of March, iron ore inventories at major Chinese ports had surged by 5.3% to reach 142.1 million tons, the highest since late February 2023. Concurrently, ore prices experienced a notable drop of over 13%, according to data from consultancy firm Steelhome. For the first quarter of 2024, China's iron ore imports totaled 310.13 million tons, marking a 5.5% increase compared to the same period in the previous year.