[Domestic Iron Ore Brief] There May Be Some Upside Potential for Iron Ore Prices in the Tangshan Area

The recent market for domestic ore in Tangshan has been relatively stable, with the delivery-to-factory price for 66% grade dry basis including tax at 980-990 yuan/mt. Market supply and demand remained sluggish. As environmental protection-related controls tightened, concentrating plants suspended production, transportation was hindered, and more producers closed for holidays, with only a few conducting limited operations to meet rigid demand, leading to sluggish market trading. Local steel mills are gradually implementing short-term maintenance, resulting in a decline in hot metal production, which may weaken demand support. However, the overall maintenance period is short, and the impact is expected to be limited. Additionally, the recent strong performance of iron ore futures may drive the domestic ore market, potentially creating some upward room for local iron ore concentrate prices. [SMM Steel]