[China Iron Ore Brief Review] Iron Ore Concentrate Prices in West Liaoning May Have Upside Potential

Trading sentiment in the domestic ore market in western Liaoning was relatively cautious. The ex-factory prices of 66-grade iron ore concentrates, wet basis and excluding tax, were 715-720 yuan/mt. Affected by safety and environmental protection inspections, local iron ore concentrates saw capacity utilization rates at relatively low levels, with overall resources tight, boosting sentiment among producers holding cargoes, while overall wait-and-see sentiment remained relatively strong. Demand side, local steel mills mostly maintained normal production as planned, and demand for iron ore concentrates remained supported. Coupled with the recent strong performance of iron ore futures, market confidence may be boosted, and local iron ore concentrate prices are expected to have some room to rise in the short term. [SMM Steel]