Australia's iron ore (62% Fe, CFR China) hiked by US$2.35 to US$103.25 on March 24. It has risen by US$2.65 since the beginning of this year, an increase of 2.6%. The decision by steel mills, including Xinjiang Bayi, to cut crude steel production from the 24th, combined with China's implementation of stronger policies and market-stimulating measures, boosted market sentiment. Additionally, the US statement of openness to tariff negotiations at the WTO further fueled optimism, leading to a simultaneous rebound in China's futures and spot steel prices, which further drove iron ore prices.

Despite this, transactions in China's steel market remain subdued, while overall demand is still weak. Market participants noted that although production cuts are in place, steel mills are not actively restocking. However, demand is expected to recover in April. In the short term, iron ore prices are likely to remain volatile.