Iron ore slips to two-year low on concerns over weak demand, hiking supply

SINGAPORE: Iron ore prices slipped for a third straight session on Thursday to their lowest level in more than two years, weighed down by persistent concerns over weak demand in top consumer China and prospects of growing supply of the key steelmaking ingredient.

The most-traded iron ore contract on China’s Dalian Commodity Exchange (DCE) fell by 0.82 percent to 669 yuan (USD99.95) a metric ton, as of 0147 GMT, its lowest since September 24, 2024. The benchmark November iron ore on the Singapore Exchange was down 0.66 percent at USD89.85 a ton, as of 0137 GMT, its weakest since September 24, 2024.

Downstream steel demand weakened in peak season while iron ore supply from the Simandou project in Guinea is expected to ramp up, analysts at broker Zhengxin Futures said in a note. That, coupled with falling freight rates, implied potentially further downside room for futures ore prices, they added.

China’s iron ore imports in the first nine months of 2026 rose 4.1 percent from a year ago to total 954.97 million tons, keeping the annual imports this year on track for a record high.

Coking coal and coke, other steelmaking ingredients, slid 3.67 percent and 2.62 percent, respectively. Steel benchmarks on the Shanghai Futures Exchange also weakened. Rebar dipped 0.59 percent, hot-rolled coil lost 0.43 percent and stainless steel dropped 2.26 percent.