Iron ore futures experienced varied movements on Tuesday, July 29, 2025, reflecting a complex interplay of factors, primarily concerning China. The Singapore benchmark price initially fell by 2.6% to $100.65 per tonne, driven by growing market apprehension. This downturn was linked to reports that Beijing is intensifying efforts to curtail capacity in heavy industries, notably steel production, as part of a broader "anti-involution" campaign aimed at reducing unproductive competition and addressing overcapacity. China's steel industry, traditionally a major driver of economic expansion and iron ore demand, has faced significant pressure from a downturn in the property sector, its primary source of demand. Analysts from ANZ noted that policymakers appear to be "shifting into a higher gear," with expectations for substantial capacity limits to be enforced soon.