China iron ore port stocks fell amid steelmakers restocking

SHANGHAI, Nov 1 (SMM) – Inventories of iron ore across Chinese ports declined this week, as steel mills in the top steelmaking hub of Tangshan stepped up their purchases amid temporary anti-smog curbs on road transport after the week-long National Day holiday in early October.

SMM data showed that iron ore stocks across 35 Chinese ports decreased by 2 million mt from a week ago to 116.79 million mt as of November 1, 15.71 million mt lower than a year ago.

The daily average iron ore deliveries from those ports jumped 259,000 from the prior week to 2.88 million mt in the week ended November 1. The print was 12,700 mt higher than the same period last year.

A fresh round of heavy smog hit north, central and east China this week, prompting regions including Hebei, Henan, Shanxi, Shandong, Anhui and Jiangsu to impose production curbs. This is likely to dampen demand for iron ore and drive up stocks at ports.