China's factory activity expanded at a faster pace in June, beating expectations, Reuters reported Tuesday.

Chinese manufacturing activity strengthened in June but the leading indices provided further evidence that the country's steel market recovery will be largely domestically-driven.

The 2009 ferrosilicon contract price on ZCE closed at 5886 yuan per ton on July 7.

The 2009 ferrosilicon contract price on ZCE closed at 5910 yuan per ton on July 6.

Iron ore prices are expected to soften from current high levels in the July-September quarter.

In June, the ferrosilicon market continued to rise steadily.

The 2009 ferrosilicon contract price on ZCE closed at 5808 yuan per ton on July 3.

Analysts said the country should ramp up its efforts to revitalize domestic demand to sustain the improvement in industrial earnings amid mounting uncertainties.