Index for #iron_ore reduced 2.9$ on Monday 26th August. This reduction is related to #Trump decision in order to increase tariffs (5%) on Chinese products and goods and the #Yuan_devaluation (-0.82%), causing #iron_ore_import to #China more expensive and decreasing iron ore demand.

On the other hand China has reduced the limitations on #steel_mills for September and October in comparison with August. It will grow #steelmaking and increase #iron_ore_consumption. Consequently it causes #steel_price to cool down and #iron_ore_price to strengthen!

The new rules that China will apply on steel mills are as follow:

  • #Pellet output, iron ore #agglomeration and blast furnaces production shall be reduced 20%~30% from 1st 25th of September.
  • Pellet output, iron ore agglomeration shall be reduced 30%~50% and #steel production shall be descend 30% from 26th September to 4th

Leave a Reply

Your email address will not be published. Required fields are marked *