"In the last decade, iron ore has turned into a crazy stone from an ordinary stone," Baosteel Group chairman Xu Lejiang was quoted as saying by the Shanghai Securities News.
The current cycle was coming to an end and massive investment over the past 10 years would soon translate into an iron ore supply surge, said Xu.
Xu also predicted a sharp decline in iron ore prices amid a severe supply glut.
China is the world's top iron ore buyer and steel producer, contributing almost half of global steel output. (Reporting by Soo Ai Peng; Editing by Chris Lewis, sourced Thomson Reuters)