[China Iron Ore Brief] Iron ore concentrates prices in the Tangshan area were relatively stable, with the current ex-factory prices for 66-grade iron ore concentrates on a dry basis, tax-included, at 975-980 yuan/mt. A coal mine accident occurred in Shanxi last weekend, but its impact on mines and beneficiation plants in Hebei was limited. Mines and beneficiation plants estimated that safety inspection efforts may intensify in the near term. The overall operating rate of mines and beneficiation plants was currently low, and iron ore concentrates resources were relatively tight overall. It was estimated that the supply shortage may worsen in the later period.

HRC futures the most-traded contract closed at 3,366, down 1.78%. Spot market, hot-rolled coil prices in most major cities fell 30-50 yuan/mt, cold galvanized prices dropped 10 yuan/mt, and overall transactions were weak. Supply side, the impact from maintenance on hot-rolled production this week was 185,500 mt, up 48,000 mt WoW, indicating reduced HRC supply this week based on maintenance schedules. Demand side, yesterday coking coal and coke futures strengthened, driving HRC futures and spot prices higher. Today, futures market sentiment cooled, and HRC futures weakened significantly, dragging spot prices down again. Prices fluctuated sharply over the past two days, and with mediocre off-season demand, end-user procurement remained cautious, with overall transactions weak today. Overall, off-season sentiment was strong, demand remained generally weak, and upward momentum was insufficient. However, considering the rebound in hot metal production, strong sentiment for coking coal and coke price increases, cost side still had support, and steel mills had a strong willingness to hold prices firm, prices still had downside support. Going forward, the supply-demand imbalance was not prominent. As news related to the mine accident gradually subsided, market prices were likely to return to fundamentals-driven logic, with prices expected to mainly move sideways in the short term.

[SMM Coking Coal and Coke Daily Brief] News: Mainstream steel mills in Hebei and Shandong accepted the fourth round of coke price increases, with wet quenching coke raised by 50 yuan/mt and coke dry quenching raised by 55 yuan/mt, effective from midnight on May 26, 2026. In terms of supply, the fourth round of coke price increases has been implemented, and most coke producers maintained moderate profits. However, coking coal prices have expectations of rising, which may squeeze coke producers' profits. Coke producers showed limited production enthusiasm, and coke supply remained stable for now. Demand side, finished steel futures pulled back notably, but steel mills' daily average hot metal production continued to fluctuate at highs, sustaining rigid demand for coke, and buyers still had willingness to restock. In summary, coke had strong cost support, and the fourth round of coke price increases has been fully implemented. In the short term, the coke market is expected to hold up well.

As of May 26, the operating rate of 50 major construction steel EAF steel mills nationwide was 39.9%, down 0.26% WoW; the capacity utilization rate was 41.97%, down 0.36% WoW; daily average production of construction steel was 93,500 mt, down 800 mt WoW.

On May 26, 2026, DCE iron ore futures trended weaker, with the most-traded contract I2609 closing at 781 yuan/mt, down 1.95% from the previous trading session. Port spot prices fell 5-10 yuan/mt from the previous day. Traders showed moderate enthusiasm in offering prices; steel mill purchases were mostly for immediate needs; overall spot market transactions remained limited as of now. According to SMM statistics, the impact from blast furnace maintenance on hot metal production was 1.3075 million mt this week, down 68,400 mt WoW; next week, the impact from maintenance is expected to further decline to 1.2049 million mt, down another 102,600 mt WoW. The narrowing of maintenance impact for two consecutive weeks indicates that hot metal production is gradually rebounding, with blast furnace consumption and procurement of iron ore increasing in tandem, pointing to a mild uptick in iron ore demand. With marginal improvement in demand, short-term ore price support remains firm, and prices are expected to fluctuate upward.

[SMM Chrome Daily Review: Prices Moved Sideways as Tug-of-War Between Sellers and Buyers Continued] May 26, 2026: The ferrochrome and chrome ore market fluctuated slightly...