China Iron and Steel Association: A new order for a fairer, more transparent, and sustainable iron ore market is gradually being established.

For a long time, the iron ore industry chain has shown characteristics of structural imbalance between upstream and downstream actors, with a stark contrast between the "rich" international mining companies in the upstream sector and the "struggling" domestic steel enterprises downstream. This uneven and unreasonable distribution of interests between the two ends has affected the healthy and sustainable development of the entire industry. In recent years, there has been a growing call from various parties for rule reconstruction and value return, and the iron ore market structure is facing profound adjustments, with a new market order that is fairer, more transparent, and sustainable gradually taking shape. Firstly, China's super-large-scale market acts as a "constant," offsetting the "variables" in global supply. Secondly, a diversified resource supply system is being established. Thirdly, reaching a consensus on resolving the structural imbalance of interests between upstream and downstream has become a shared understanding. Finally, a more objective and transparent pricing mechanism for iron ore is being gradually established. For a long time, the pricing based on the US dollar index has largely relied on the limited transaction prices of some international mining companies in the dollar market. China, possessing the largest port spot market globally, is able to reflect market supply and demand conditions more objectively and authentically in its transaction prices.