[Domestic Iron Ore Brief Review] Iron Ore Concentrate Prices in Shandong Region May Have Some Upside Potential

In Shandong this week, mine-mouth prices for 64%-grade alkaline concentrates (dry basis, tax-excluded, acceptance payment) were quoted at 903 yuan, up 13 yuan. Steel mills raised prices in sync. Most miners maintained normal production, and those undergoing monthly routine maintenance have resumed operations, leading to a recovery in supply. Currently, steel mills showed moderate purchasing enthusiasm. Large mines basically operated with no inventory, while small plants and traders mainly sold at prevailing market prices. On the steel mill side, there were no significant restocking activities, with most purchasing as needed. However, the price spread between domestic and imported ore narrowed recently, slightly improving the cost-effectiveness of domestic ore. Coupled with the relatively strong performance of iron ore futures recently, this may boost the domestic iron ore market. It is expected that local iron ore concentrate prices may have some room to rise in the short term.