Wednesday, October 13,
Iron ore imports by China, the largest buyer of the steelmaking ingredient, rebounded 18% in September to a five-month high, indicating the state measures to curb steel production haven’t damped ore demand.
Imports rose to 52.6 million metric tons, the highest since April, from 44.6 million tons in August, according to figures provided by China’s General Administration of Customs.
The Chinese government started limiting power to steelmakers in September, trimming supply in the world’s biggest producer, as it rushed to meet energy consumption targets. Vale SA and Rio Tinto Group, the world’s two biggest exporters of the raw material, said last month they haven’t seen any big effect on demand from these measures.
China’s Iron ore imports dropped 13 percent in August, the biggest decline in seven months, to 44.6 million tons, the lowest level since February 2009.
Power restrictions on steel production may have a bigger effect on demand for the raw material in the fourth quarter, said Zhang Yong, an analyst. Still, iron ore shipments to China may continue to rise this month as India resumed exports in mid-September after its rainy season ended, he said.
Source: Bloomberg
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