Arab Steel Summit
Arab Steel Summit
steel Oribis
steel Oribis
steel Oribis

Iron ore falls below $165/t on weak demand in China

Iron ore resumed plunging on Monday amid weak import data, indicating that production cuts in China are affecting demand.

Australian iron ore fines 62% fell by $7.5/t to $163.25/t CFR, the lowest since late March, following an RMB 42.5/t ($6.6/t) decrease in January contracts on the DCE. The lasting demand weakness was still keeping the raw material tags under pressure.

During the weekend, official data revealed that import of the steelmaking ingredient to China continued to soften for the fourth month in a row in July, dropping by 1% m-o-m and by huge 21.4% y-o-y to 88.51 million t.

The plunge was caused by massive output restrictions imposed in a number of China’s provinces last month, impacting the iron ore demand and market sentiment. “Steel mills in the Shanxi region have been ordered to cut production by 50% so as to cap steel production below last year’s record high with officials pledging to aggressively enforce restrictions,” said Westpac analysts quoted by the Australian press.

Besides, most of sintering equipment is still being stopped in Tangshan city in a bid to improve air quality. Additional pressure comes from the increasing number of COVID-19 infection cases in China, which hampers construction activity and, accordingly, steel and iron ore consumption. “The virus spread may bring down the traditional recovery of business activity in late August,” a market source told.



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لوريم ايبسوم هو نموذج افتراضي يوضع في التصاميم لتعرض على العميل ليتصور طريقه وضع النصوص بالتصاميم سواء كانت تصاميم مطبوعه لوريم ايبسوم ليتصور طريقه لوريم ايبسوم.

About AISU

Arab Iron and Steel Union was established in Algeria in 1972 as the first Arab Union of the Arab countries to be founded under the Council of Economic Unity umbrella in the League of Arab States.

It is the first Arab organization to specialize in the iron and steel field, and its tasks fall within making plans aimed mainly at developing and growing the iron and steel industry in the Arab world.

Arab Iron and Steel Union comprises a wide range of multi-activity companies related to the iron and steel industry from the Arab countries.


92 Members

28 Board of Directors

17 Country

300.000 Employees

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