An explosion ripped through a warehouse at Tianjin Port International Logistics Development Zone in northern China at around 23.30 local time on Wednesday, killing at least 50 people and sending hundreds more to hospital.

The impact on trade through the major iron ore and steel terminal remains uncertain but some short-term restrictions on flows of iron ore from port stocks and steel leaving the port are expected, Kallanish notes.

At least two enormous explosions and a large fire were caused by hazardous chemicals in the Dongjiang bonded port. The impact has spread to the iron ore and steel-intensive Beijiang and Nanjiang, however. Local analysts say the customs office of the port has also been affected and delays are expected in all processing and permitting based there.

All work has reportedly stopped at Beijiang, which reportedly holds around 1.4 million tonnes of iron ore stocks and has a daily throughput of 60,000-70,000t. Work at the larger Nanajiang bonded port was temporarily halted because of smoke and was expected to resume by end-Thursday. Nanjiang holds some 5.7mt of iron ore stocks and has a daily throughput of around 220,000t.

With steelmakers’ iron ore stocks at around a week of production or more, the stoppage is unlikely to directly impact steel output. The surrounding area is in any case preparing for restrictions on production from 20 August ahead of a military parade in Beijing on 3 September.

A survey of nearby steelmakers by MySteel also shows three local mills, all part of Tianjin Metallurgy Group, have stopped shipping steel to the port. Other mills said their shipments had not yet been accepted. Shandong province’s Xiwang Steel also said it sometimes used Tianjin port for steel exports to South Korea.