17 July 2025 – Iron ore prices on the Singapore Exchange (SGX) had already exceeded USD 100 per tonne yesterday (Wednesday) and rose further today. China sees increase in construction activity. US aluminium premiums remain at record high. Von der Leyen’s EU budget draft meets with broad resistance from politicians and business leaders.
Asian iron ore prices rise above USD 100 per tonne
Iron ore prices on the Singapore Exchange (SGX) had already exceeded USD 100 per tonne yesterday (Wednesday) and continued their upward trend today (Thursday). Prices for iron ore also rose further today on the Dalian Commodity Exchange (DCE), climbing by around 1.8%. At the beginning of the week, Chinese spot prices for imported iron ore had already jumped by more than 4%.
Iron ore prices rise due to increased construction activity
Among other things, increased demand from the Chinese construction sector is likely to have contributed to these iron ore price increases. Construction starts in China rose surprisingly by 0.8% in the second quarter. Another important demand effect comes from private consumption in China, which rose by approximately 1.0% compared to the previous quarter.
US aluminium premiums remain at record highs
The aluminium premium duty paid US Midwest remains at a record high and currently stands at USD 1471.78 per tonne or approximately USD 0.67 per pound.
Von der Leyen’s EU budget proposal meets with widespread resistance
The draft budget (Multiannual Financial Framework, MFF) for the years 2028 to 2034 presented on Wednesday by EU Commission President Ursula von der Leyen has met with widespread rejection not only in the European Parliament but also in the member states. Even six EU commissioners had taken a clear stand against the draft budget before it was published, which further delayed the presentation of the MFF on Wednesday.
The presentation of the MFF by Ms. von der Leyen and her Budget Commissioner Piotr Serafin, which was accompanied by extensive mishaps and further affronts, provides, among other things, for an increase in the EU budget to 2 trillion euros.
Several member states reject budget plans
Just minutes after the draft was published, EU member the Netherlands declared its clear rejection of Ms. von der Leyen’s plans. Germany, represented by Chancellor Friedrich Merz (CDU), also issued a clear rejection of the demands from Brussels. The EU Parliament expressed strong criticism of the Commission President for not adhering to prior agreements and for keeping the contents of the MFF secret until its publication.
Strong protests from the business community against tax plans
In the run-up to the publication, a leaked draft of the MFF had led to strong protests from politicians and the business community. Business representatives in particular had raised legitimate objections to the Commission’s proposals on the taxation of corporate turnover.
In order to finance its 2 trillion spending dreams, the Commission wants to introduce taxes on corporate turnover, among other things. The fact that higher taxes and levies are actually out of the question in economically difficult times seems to have been lost on the out-of-touch Brussels bureaucrats. Furthermore, even wanting to discuss a tax on corporate turnover raises the legitimate question of what mind-altering drugs those responsible in Brussels are actually consuming all day long.
The storm of indignation could have been avoided last week
The storm of indignation in the EU Parliament over Ursula von der Leyen’s overbearing and authoritarian behavior could have been avoided last week. Even if one does not want to vote with an unpopular party wing for ideological reasons, one could have made a clear and unequivocal statement against Ms. von der Leyen as Commission President and the current Commission by actively abstaining during the vote.
However, it is possible that not only Ms. von der Leyen, but also some party leaders should be sent into unemployment. We may well ask ourselves how often parliamentarians are willing to let her lead them by the nose.
Dear Members of Parliament, you are employees of the European people. This means that you do not have to vote in the interests of your parliamentary group, your party, your country or the Commission President, but in the interests of the European people. We are clearly excluding those in Parliament who we know have been working persistently for a long time to do what is right for the EU as a whole. They even include members of the von der Leyen parliamentary group and her German federal party.
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