Iron ore stays calm amid turmoil

Iron ore prices have been a model of stability in recent months despite the increasing clouds over the outlook for the key steel raw material.

- Clyde Russell

The benchmark Singapore Exchange contract ended at US$95.25 (3,110 baht) a metric tonne on Monday, down from $95.89 at the previous close but up from the recent nine-month low of $93.35 on July 1.

However, the range in the price between that low and the high so far in 2025 of $107.81 a tonne on Feb 12 is a narrow $14.

In 2024 the range between the high and the low was around $52 a tonne, about $32 in 2023 and $82 in 2022.

The lack of volatility in iron ore prices so far in 2025 comes despite the ongoing uncertainty over the tariff policies of US President Donald Trump, and what impact these will have on global trade and economic growth.

There is also uncertainty over the strength of China, the world's second-biggest economy and buyer of about 75% of global seaborne iron ore volumes.

The key residential property sector remains weak and the export-orientated manufacturing sector also faces headwinds from the tariff barriers, with the United States currently imposing 55% tariffs on imports from China.