- Abundant offers, expectations of higher supply pull prices lower
- Blast furnace maintenance continues to limit iron ore consumption
Iron ore fines (Fe 61%) spot prices fell by $1.2/dmt d-o-d to $97.70/dmt CFR North China on 21 July 2026, pressured by weak spot demand and ample offers in the seaborne market.
Although mills showed limited demand for Fe 65% products, higher-grade ores saw a relatively smaller decline than 61% Fe fines amid volatile market conditions. In contrast, the demand for Brazilian iron ore remained steady.
China’s portside iron ore prices declined for the fourth straight session as sluggish offtakes and a bearish outlook weighed on sentiment. Steel consumption remained weak due to seasonal rainfall and high temperatures, which continued to curb construction activity. Most end users purchased only to meet immediate requirements, avoiding inventory accumulation.
Meanwhile, expectations of higher seaborne supply after the start of Simandou production, coupled with increased shipments from Australia and Brazil, further dampened market sentiment. Blast furnace maintenance continued to limit steel output, and weak downstream demand prevented any meaningful improvement in iron ore fundamentals.
DCE iron ore futures: Iron ore futures on the Dalian Commodity Exchange (DCE) for the September 2026 contract dropped by RMB 7/t to RMB 742/t on 21 July.
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