SHANGHAI, Jul 5 (SMM) – Iron ore port inventories continued to shrink on lower arrivals this week, but the decline pace in inventories slowed from a week ago, SMM data showed on Friday July 5.
As of July 5, iron ore stocks across 35 Chinese ports shrank 880,000 mt from a week ago and 34.72 million mt from a year ago, to stand at 105.8 million mt. The declines slowed from drops of 1.81 million mt and 36.38 million mt, respectively, in the previous week.
Daily average deliveries from the 35 ports dropped 27,000 mt from a week ago and 35,500 mt from a year ago, and stood at 2.57 million mt this week.
Low in-plant inventories drove steel mills outside Tangshan to restock as needed. Volatile prices of iron ore prompted some steel mills to delay purchases. Daily average deliveries are expected to change little this week as output controls in the north remain in place.
Output cuts across steel mills in Tangshan kept daily average deliveries from Caofeidian port and Jingtang port at lows of some 250,000 mt.