Iron ore futures in Asia rose on Tuesday, with the benchmark Dalian contract advancing by more than 3 percent, as lingering concerns about tight supply of the steelmaking raw material eclipsed expectations of a slowdown in China's steel demand, Reuters reports.
The most-traded September iron ore on China's Dalian Commodity Exchange gained by 3.5 percent at 1,227.50 yuan (US$189.87) a ton.
Iron ore's most-active August contract on the Singapore Exchange jumped by 1.5 percent at US$210.95 a ton.
A consensus is emerging among industry leaders and market analysts that China's steel demand will ease in the second half of 2021, which may slow mills' iron ore purchases.
"The growth of China's steel demand in the second half will be slower than the first half," said Wang Yingsheng, chief economist of the China Iron and Steel Association (CISA), while speaking at the opening ceremonies for the three-day Singapore International Ferrous Week.
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