Arrivals of Imported Iron Ore at Chinese Ports Continued to Drop, While Shipments from Australia and Brazil Rose Significantly

SHANGHAI, June 14 (SMM) - SMM data showed that a total of 67 ships arrived at major ports in China from June 6 to June 12, carrying 10.22 million mt of iron ore, down 1.88 million mt on a weekly basis and 1.29 million mt from a year ago. In the same period, shipments from Australia were 19.99 million mt, up 4.76 million mt week-on-week and 4.07 million mt YoY; shipments from Brazil were 7.1 million mt, down 320,000 mt week-on-week, but up 60,000 mt YoY. As the rainstorm weather in Australia has improved and the overhaul of ports has ended, the shipments from the country increased significantly. However, it is difficult to see a substantial increase in port arrivals in the short term. Domestic steel mills' pig iron output remains high, thus iron ore demand is stable. The continued decline in port inventories will give strong support to iron ore prices. However, considering that the rainy season will drag down the demand for steel and inhibit the production enthusiasm of steel mills, it is expected that the iron ore prices will continue to fluctuate sideways in the short term.