26.02.202606:52:31UTC+00Iron Ore Slips as China Curbs Steel Output

Iron ore futures fell back below CNY 750 per ton, surrendering part of the previous session’s gains after Chinese authorities ordered steel mills in northern China to temporarily curb production to reduce pollution during the annual meetings of the National People’s Congress. Under the “blue skies” directive, mills were instructed to cut blast furnace output by 30% for one week starting March 4, in an effort to limit emissions in Beijing during the high-profile political event.

Analysts anticipate softer steel demand in the first half of the year, reflecting persistent weakness in the property sector and subdued industrial activity. At the same time, oversupply concerns remain elevated, with iron ore inventories at major Chinese ports rising to their highest level since February 2022.

Traders are also assessing the implications of the recent US Supreme Court ruling on tariffs, which could prompt additional protectionist measures and introduce further disruptions to global trade flows.