Iron ore port stocks fall for six consecutive weeks

SHANGHAI, May 17 (SMM) – Inventories of iron ore across Chinese ports declined for a six straight week this week, as limited seaborne materials arrived.

SMM data showed that iron ore stocks across 35 ports shrank 830,000 mt from a week ago to stand at 123.67 million mt as of Friday May 17. This was down 21.13 million mt from the same period last year.

Stocks across major ports in the east and north continued to dip as arrivals fell. Low arrivals across some Tangshan ports are expected to keep iron ore port stocks from growing next week.

Daily iron ore deliveries leaving those ports averaged 2.67 million mt this week, down 38,000 mt from the previous week, SMM data also showed.

Tangshan ports continued to see more than 300,000 mt of iron ore being delivered per day, as weaker-than-expected output curbs across steelmakers failed to lower demand for iron ore.

Fewer supplies and robust demand are expected to keep prices of iron ore strong.