In 2022, the global iron ore demand will decrease by 72 million tons to 80 million tons year on year. So far, China has reduced crude steel output by 30 million tons.

In addition, in the first half of 2022, due to factors such as rainfall, mine maintenance, and geopolitics, the global iron ore supply dropped significantly year on year. The global supply of iron ore was expected to decrease by 53 million tons to 63 million tons this year.

On balance, in 2022, the reduction in global iron ore supply will be lower than the decline in demand, and supply may exceed demand. The iron ore prices were expected to decline, but there will be support at the bottom.