SHANGHAI, Jan 3 (SMM) – Inventories of seaborne iron ore across Chinese ports declined this week, as steelmakers were keen to replenish their stocks ahead of the Lunar New Year holiday which is in late January this year.

SMM data showed that iron ore stocks across 35 Chinese ports totalled 115.41 million mt as of January 3, down 1.63 million mt from a week ago and 15.03 million mt lower than a year ago. Inventories at Jingtang and Caofeidian ports, two major ports in the top steelmaking hub of Tangshan, fell sharply this week.

For the week ended January 3, iron ore deliveries from the 35 ports averaged 2.87 million mt per day, up 51,000 mt from the previous week, marking a second straight week of increases as mills along the Yangtze River, following those in east and north China, began pre-holiday stockpiling.

Demand for imported iron ore is set to remain robust next week, as mills continue to stockpile in the run-up to the holiday, which will offer support to prices.