FX.co ★ Steel Prices Steady Amid Geopolitical, Trade Uncertainty

Steel rebar futures remained steady at approximately CNY 2,980 per tonne on Friday, concluding the week without significant change. Investors are carefully assessing the escalating geopolitical tensions and economic challenges. Concerns intensified following Israel's preemptive strike on Iranian nuclear facilities, which led to retaliatory drone attacks from Tehran. This significant escalation increased global risk aversion, although the immediate effect on steel demand appeared minimal. Concurrently, uncertainty continues to loom over U.S. trade policy as President Donald Trump expressed intentions to impose unilateral tariffs to coerce foreign governments into trade agreements. Additionally, the China Iron and Steel Association cautioned that the intensifying price competition within the electric vehicle industry is placing added pressure on steel manufacturers. Reports indicate that automakers are urging suppliers to reduce the prices of steel plates used in vehicle production, further squeezing industry profit margins.