Seaborne iron ore concentrate and pellet prices fell again in the week ended Friday July 30 amid a pessimistic outlook for demand on anticipated steel production cuts in China.
Fastmarkets iron ore indicesPellet premium over 65% Fe fines, cfr China: $51.70 per tonne, down $9.10 per tonne66% Fe concentrate, cfr Qingdao: $227.99 per tonne, down $14.10 per tonne65% Fe blast furnace pellet, cfr Qingdao: $272.72 per tonne, down $22.55 per tonne Key driversDemand for high-grade iron ore has been largely depressed because of the expected steel production cuts for the remainder of 2021, according to a mill source in southern China.Some steelmakers were heard to have implemented plans to keep 2021 production levels from exceeding 2020's output, resulting in weaker demand for iron ore concentrate, the source said. A trading source in Shanghai said sintering material, such as Karara concentrate and IOC concentrate, would likely experience a significant drop in demand as a result of the steel output cuts.But higher-grade concentrate used for pelletizing,...