The drop in futures mirrored weakness that has prevailed in the physical market since last week, as steel mills reduced output to comply with anti-smog measures.
Brazil’s new right-wing government is going ahead with announced changes to current mining regulations, which include a controversial plan to open up indigenous reserves to mining.
The level 1 alert, the highest in China's four-tier pollution warning system, has been in place since March 1 and requires steel mills to curb output by 40%-70%.