Chinese iron ore port inventories rose to 148 million metric tons as of June 21, the highest since March, as seaborne supply arrivals outpaced mill consumption. Weekly port offtake averaged 28.5 Mt, flat week-on-week and below the 2026 average of 29.2 Mt.
Seaborne iron ore supply from Australia and Brazil totaled 72 Mt in May, up 3% year-on-year. Rio Tinto and BHP both reported steady production from their Western Australia operations, with Rio Tinto's Pilbara shipments at 28.1 Mt in May, in line with its 330 Mt annual guidance.
Brazilian exports reached 34 Mt in May, up 2.5 Mt year-on-year, as Vale continued to ramp up production at its S11D complex in Carajás. Vale's S11D output reached a record 18.2 Mt in Q1 2026, and the company is tracking toward its 335 Mt full-year guidance.
The inventory buildup is concentrated in northern Chinese ports (Tangshan, Tianjin), where the majority of Australian and Brazilian cargoes arrive. Mills in northern China reduced sinter plant utilization to 72% in June, down from 78% in Q1, due to margin pressure and seasonal maintenance.
Port inventories at 148 Mt provide comfortable coverage. No supply tightness risk in the near term. For procurement: spot purchases from stock at port offer better value than forward cargoes. The $98–$102 range is fair value given current supply-demand balance.