Iron Ore Prices Jump Ing

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Iron Ore Prices Jump Ing

Iron Ore Prices Jump On China'S Report - Ing

According to a media report, China is planning to cut its steel production. They will also work on curbing new capacity, and the timeline for this is between 2025 and 2026.

The Chinese authorities plan to do this in order to fix the issues of poor demand and excess supply. After the media report, the Iron ore prices in Singapore jumped and crossed their multi-week highs.

China Plans To Cut Steel Exports

Meanwhile, China's export of steel during the period Jan-Jul 2025 reached a new all-time high. Now, that's also something which is highly likely to affect the Iron ore prices.

The authorities are talking about cutting the output, but they have not mentioned any specific targets. However, they did raise the target for value-added by around 4%. This will be achieved by using new technology and encouraging the public to use steel in construction.

The report also showed a 3.1% decline in the output of crude steel. This marks the first such event in the last 7 months and also highlights the severity of the situation.

The Chinese government is also planning to force the closure of old furnaces. When that happens, it will get very easy to achieve the steel output cut targets.

Overall, Beijing wants to make sure that the supply of raw materials and their prices remain stable. This includes the coking coal and iron ore.

The document also revealed that China will make efforts to improve the management of steel exports. After all, it makes sense to take such measures as the steel exports have jumped in the last 2 years.

In a sense, it seems that China now wants to work its way around the anti-dumping measures taken by other countries. The overall situation is very delicate now as China wants to cut its steel output in an attempt to weaken its exports.

However, it could also be good news for China, as the output cuts will lead to higher prices of Iron ore and steel.

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