FX.co ★ Iron Ore Falls on China Steel Curbs

Iron ore futures fell below CNY 810 per ton, retreating from more than one-year highs after China’s key steelmaking center, Tangshan, activated a level-two emergency response to severe air pollution. The move has fueled concerns about possible production cuts and tighter environmental inspections. Industry data showed that Chinese steel output declined 3.6% in February to 76.1 million tons, while global production fell 2.2% to 141.8 million tons. At the annual parliamentary sessions in Beijing earlier this month, authorities reiterated their determination to curb excess capacity in the steel industry amid softening demand. At the same time, weather-related disruptions along Australia’s northeast coast have increased supply risks, with the storm triggering evacuations at Port Hedland, the world’s largest iron ore export hub.