China July iron ore imports slide from June as thinning steel margins curb appetite

Aug. 7 (Reuters) - China's iron ore imports in July slipped by 4% from the prior month, as some domestic steelmakers began equipment maintenance amid shrinking steel margins, curbing appetite for the key steelmaking ingredient.

• The world's largest consumer of the raw material brought in 108.09 million metric tons of iron ore in July, data from the General Administration of Customs showed on Friday.
• That was down from 112.69 million tons in June, but up 3.3% from 104.62 million tons in the same month in 2025, standing above 100 million tons for a fifth month so far this year.
• Iron ore demand contracted last month as reflected in falling hot metal output, which was down 1% month-on-month in July as per data from consultancy Mysteel.
• "Global iron ore shipments dropped last month following a ramp-up in June to meet quarterly targets, contributing to China's lower imports last month," said Cody Wang, an analyst at consultancy Steelhome.
• "Also, domestic steelmakers were cautious about iron ore procurement in July when steel margins continued shrinking," Wang said.
• Only around a third of steelmakers were operating at a profit by end-July, versus a half in late June, Mysteel data showed.
• In the first seven months of 2026, China's iron ore imports totalled 736.84 million tons, an annual increase of 5.9%, according to the data.
• China's iron ore imports are set to rise for a third consecutive year in 2026, as steelmakers buy more to compensate for declining iron content and as Guinea's Simandou project boosts supply, said analysts.
• China's steel exports in July slipped 1.9% from the prior month to 10.12 million tons, as domestic supply contracted and as overseas buying diminished.
• The July volume was, however, up 3% from the prior year.