Iron ore futures traded below CNY 810 per ton, facing renewed downward pressure after China’s state-backed purchaser relaxed restrictions on BHP’s Jimblebar shipments already stored at Chinese ports this week. The decision is widely viewed as a concession to steelmakers struggling with supply issues amid the ongoing dispute between CMRG and BHP Group.
However, seaborne imports of Jimblebar cargoes remain banned, a constraint that could tighten supply in the near term. At the same time, analysts observe that overall supply still exceeds demand, with end-user consumption remaining weak and elevated spot prices likely curbing trading activity.
Chinese steel production fell in January and February, as mills refrained from building up inventories in the face of uncertain demand prospects.
