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2026.09.2304:37:59UTC+00Iron Ore Rises on Supply Risks

Iron ore futures in China rose above CNY 710 per ton on Wednesday, rebounding from the previous session’s losses as renewed supply concerns offset persistent demand headwinds. Analysts pointed to supply disruptions in top producer Brazil, linked to El Niño–related weather conditions. Smaller Brazilian miners are also facing sharply higher shipping costs to China, their main market, which is squeezing margins and prompting some to cut output.

On the demand side, prices were supported by expectations that Chinese steelmakers will restock ahead of the extended Golden Week holiday in early October. However, the market remains pressured by weakening steel mill profitability in China, driven largely by elevated coking coal prices after safety inspections and mine suspensions in Shanxi tightened domestic supply. Additionally, softer demand from China’s construction and manufacturing sectors has continued to dampen ferrous metal buying.

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