[Brief Comment on Domestic Iron Ore Market] Prices of iron ore concentrates in Shandong region may have some room for upward adjustment

This week, in Shandong, the mines and beneficiation plants reported a dry-basis, pre-tax, acceptance-based ex-mine price of RMB 786 for 64% grade alkaline concentrates, up by RMB 9. Steel mills also raised their prices in tandem. Most mines are operating normally, with a few undergoing maintenance, which has had no significant impact on the overall supply. Although steel mills are still maintaining low inventory levels, their enthusiasm for purchasing is high. Major mines have basically run out of inventory, while small mills and traders have seen good sales. Overall transactions were moderate throughout the week. According to SMM tracking, there has been an increase in the flow of local iron ore concentrates to Hebei region concentrates recently. The overall market demand is moderate. Coupled with the recent slight increase in imported ore prices, it may drive the local market trend, and there may be a slight upward space for prices.