BEIJING- Iron ore futures rebounded on Wednesday, as investors shifted focus back to worries over potential supply disruptions from major producer Australia and prospects of growing demand in top consumer China.
Prices slid by more than 1 percent on Tuesday, hit by US President Donald Trump’s fresh tariffs, which will take effect from March 12.
US President Donald Trump substantially raised tariffs on steel and aluminum imports on Monday to a flat 25 percent “without exceptions or exemptions” in a move to aid the struggling industries in the US while risking a multi-front trade war.
The most-traded May iron ore contract on China’s Dalian Commodity Exchange (DCE) gained 0.43 percent to 824.5 yuan ($112.83) a metric ton.
The benchmark March iron ore on the Singapore Exchange rose 1.76 percent to $107.75 a ton as of 0308 GMT, the highest since October 16, 2024.
Concerns over supply disruptions revived after Western Australia’s Port Hedland, the world’s biggest export point for iron ore, will be closed at 6 p.m. (1000 GMT) due to tropical cyclone Zelia, boosting investor sentiment and lifting prices.
Prices were also supported by expectations of a rising demand, with weather becoming increasingly favorable for outdoor construction activities, analysts said.
