Prices for seaborne iron ore pellets rose in the week ended Friday March 19 amid a tightening of restrictions on steelmakers in Tangshan - China's steelmaking hub - to control emissions, sources said.
Fastmarkets iron ore indices
66% Fe concentrate, cfr Qingdao: $192.18 per tonne, down $2.66 per tonne.
65% Fe blast furnace pellet, cfr Qingdao: $231.08 per tonne, up $3.65 per tonne
Key drivers
Local authorities in Tangshan
introduced new curbs on steelmakers in the region. Some mills have been instructed to halve their production until the end of June while others are to cut output by 30% for the rest of the year.
These, along with existing restrictions, sapped demand for iron ore, according to a Shanghai-based analyst.
Restrictions to control emissions typically involve caps on sintering activity, which typically boost demand for direct-charge iron ore such as pellets...