[SMM Iron & Steel] Rio Tinto Confirms 2026 Simandou Export Guidance and Full Rail Commissioning

This week, ferrous metals were in the doldrums. On the first day after the holiday resumption, due to the impact of overseas risk events during the long holiday—primarily the US's plan to impose new tariffs on approximately six industries (including large batteries, cast iron and iron fittings, plastic pipes, industrial chemicals, as well as power grid and telecommunications equipment) and the escalation of US-Iran tensions—overall sentiment fluctuated significantly, and ferrous futures also touched recent lows. Mid-week, with some steel mills in the Tangshan area receiving notifications for voluntary emission reductions during the Two Sessions, coupled with Shanghai's adjustment of housing purchase restrictions and rumors of favorable real estate policies during the Two Sessions, futures rebounded from lows, showing significant sector resonance effects. However, as the weekend approached, no new favorable policies emerged, and futures retreated once again.

Fortescue Metals Group reported a 23% increase in first-half profit on February 25, 2026, driven by record iron ore shipments and higher realized prices. The company noted a 3.0% drop in iron ore production costs and a 6.6% increase in realized prices. Fortescue's performance highlights the resilience of major Australian miners despite fluctuating global demand signals.

On February 24, 2026, the European Commission began trilogue negotiations on a new steel safeguard measure to combat global overcapacity. The regulation proposes reducing tariff-free import volumes to 18.3 million tons per year (a 47% cut compared to 2024 quotas) and doubling out-of-quota import duties to 50%, to be fully in place by July 1, 2026