08:21 AM EDT, 07/02/2025 (MT Newswires) -- Vale (VALE) said Wednesday it cut its 2025 iron ore agglomerates production guidance to between 31 million and 35 million metric tons from an earlier projection of 38 million to 42 million tons.

The company said the reduction is due to current market conditions for pellets.

Vale said it decided to suspend production at its Sao Luis pelletizing plant in Brazil as it moves ahead with preventive maintenance at the plant during Q3.

The pellet feed, which would have been used as input for the pelletizing plants, will be redirected to iron ore fines sales, the company said.

Shares were 1% higher in recent premarket activity.