China’s strong iron ore imports contrast with weak steel output


Slow demand: Bundles of steel tubes at a trading market in Jinan. Sentiment among steelmakers has yet to be lifted by Beijing’s ongoing efforts to boost the key housing construction industry. — Bloomberg

THE strength in China’s iron ore imports this year stands in stark contrast to the weakness in steel production and demand, setting up a dilemma as to how the contradiction will be resolved.

China, which buys about 75% of global seaborne iron ore, imported 102.3 million tonnes in May, according to customs data, marking a third straight month of arrivals of more than 100 million tonnes.

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