As of March 14, SMM data reported that the total inventory of iron ore at 35 ports stood at 141.17 million metric tons. This figure represents a decrease of 1.79 million metric tons week-on-week and an increase of 2.03 million metric tons year-on-year. The average daily pick-up volume of imported ore reached 2.968 million metric tons, marking an increase of 85,000 metric tons week-on-week and 90,000 metric tons year-on-year. This week, there was a notable decline in port arrivals.
According to tracking by SMM, pig iron production in steel mills remained elevated, which has bolstered demand for iron ore concentrates. Steel mills have stepped up their procurement efforts, contributing to an upward trend in port pick-up volumes. Consequently, the overall picture indicates a destocking trend at the ports. Looking ahead, projections suggest that pig iron production at steel mills will likely continue to rise.
As a result, port pick-up volumes are expected to maintain their upward momentum, and port inventory may continue to experience a decline. These trends reflect the ongoing dynamics in the iron ore market, where demand is responsive to production levels in the steel industry. In summary, the current data reveals a complex interplay between inventory levels and procurement activities at ports, driven by the needs of steel mills. With sustained production levels anticipated, the iron ore market may see further adjustments in inventory as demand continues to shape its trajectory.