Australia's iron ore (62% Fe, CFR China) on July 2 rebounded by US$1.8 to US$94.45, which not only returned to above the US$94 mark, but it also reached a three-week high since June 12.

China’s Central Financial and Economic Affairs Commission highlighted key policy directions, including advancing the building of a unified national market and promoting the high-quality development of the marine economy. In parallel, Tangshan extended its late-June production curbs with additional strict emission reduction measures scheduled from July 4 to 15, which led to a rebound in both futures and spot steel prices.

At the same time, global iron ore shipments declined, and port arrivals in China also decreased, supporting a sharp rise in iron ore prices. However, analysts pointed out that domestic demand in China remains weak, and the production restrictions in Tangshan may have limited influence. As a result, significant gains in steel prices may be difficult to sustain, and iron ore prices are expected to show short-term volatility.