Iron ore prices rise — what is happening in the market in July.

Iron ore prices continued to rise to two-month highs at the beginning of July 2025. Two factors contributed to this.

This is reported by GMK.center.

Iron ore — how prices have changed

Thus, September futures for iron ore raw materials on the Dalian Commodity Exchange (DCE) increased by 2.3% — to $102.2 per ton.

Meanwhile, August contracts on the Singapore Exchange were valued at $96.1 per ton.

Iron ore prices in global markets have risen due to two factors:

• volumes of sea supplies have temporarily decreased;
• traders were expecting new incentives from China, so they conducted active purchases.

Moreover, the official Beijing stated that it would fight against excessive steel capacities and inefficient competition in the iron ore market. After signals from Beijing regarding the reduction of outdated productions and the improvement of product quality, traders began to factor in expectations for a more stable demand structure for raw materials. This was also reflected in spot activity.

What will happen to prices next

According to analysts, in the short term, prices may remain in the range of $95-100 per ton if China continues to produce large volumes of pig iron.

However, medium-term risks are related to seasonal weakness in construction demand and uncertainty regarding the duration of government support.

The increase in iron ore prices in global markets is observed due to a reduction in sea supplies and expectations of new incentives from China. There is also a struggle with excessive steel capacities, which affects price dynamics. Analysts warn of risks related to weak demand in construction and uncertainty of government support, which may influence price trends in the medium term.