[Brief Review of Domestic Iron Ore Market] Prices of iron ore concentrates in the Tangshan region may be in the doldrums

In the Tangshan domestic ore market, prices declined slightly in some areas due to pressure from steel enterprises. The ex-factory prices (dry basis, tax included) of 66% grade iron ore concentrates were lowered by 10-15 yuan, now standing at 920-925 yuan/mt. The progress of production resumptions at local iron mines has been slow, with limited marketable resources available. On the one hand, some producers have significantly low inventory levels and are reluctant to sell goods when it is difficult to restock. On the other hand, high-cost inventory at ore processing plants is difficult to release. Considering the insufficient demand from steel mills due to their low proportion of domestic ore usage, weak demand restricts the upward momentum of prices, resulting in weak supply and demand. Additionally, the recent weak performance of the iron ore futures market further exacerbates the situation. It is expected that in the short term, the prices of local iron ore concentrates may remain in the doldrums.