China iron ore port stocks fell for 3 weeks

SHANGHAI, Dec 13 (SMM) – Inventories of iron ore across Chinese ports declined this week for a third straight week, lowered by stronger demand from the top steelmaking hub of Tangshan.

SMM data showed that iron ore stocks across 35 Chinese ports decreased by 170,000 mt from a week ago to 113.33 million mt as of December 13, 14.1 million mt lower than a year ago.

For the same week, iron ore deliveries from the 35 Chinese ports averaged 2.94 million mt per day, up 54,000 mt from the prior week.

Stocks of imported iron ore at Caofeidian and Jingtang ports, two major ports in Tangshan, continued to fall this week, as greater deliveries offset an increase in arrivals.

Shandong ports saw daily iron ore deliveries barely changed, but stocks there edged down as fewer cargoes arrived.

Deliveries from some ports along the Yangtze River extended their increase this week, as some mills restocked.

The average daily iron ore deliveries from Chinese ports are likely to reverse the course to trend lower next week, as mills may slow purchases in view of productions curbs under smog alerts that were issued in the second half of this week.

Cargoes have been banned from entering or leaving Caofeidian and Jingtang ports since 12:00 CST December 13, when an orange alert for smog was activated in Tangshan. The ban will remain in place until further notice.