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28.08.202506:33:06UTC+00Iron Ore Steady as China Curbs Steel Output

Iron ore futures remained steady at approximately CNY 779 per tonne on Thursday, experiencing little fluctuation this week amid announcements from China about plans to curb steel production between 2025 and 2026 to mitigate overcapacity issues. In March, China, the foremost steel producer globally, committed to reforming its extensive steel industry, although specific details regarding the depth and speed of these cutbacks are still to be disclosed. Official records reveal that crude steel production declined by 3.1% within the first seven months of the year, totaling 594.47 million tonnes. Earlier in the week, iron ore prices were buoyed after Rio Tinto halted operations at its expansive Simandou project in Guinea due to a fatal incident. The company had been anticipated to commence exports from this postponed project in November but has not verified if the suspension will impact this schedule. In a separate development, geologists announced a significant discovery in the Pilbara region of Western Australia, uncovering what is now recognized as the largest iron ore deposit globally, valued at an estimated $6 trillion.

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