When $HCl$ reacts with finely powdered iron,it forms ferrous chloride and not ferric chloride. Why?

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(N/A) The reaction of iron with $HCl$ produces hydrogen gas $(H_2)$:
$Fe + 2HCl \rightarrow FeCl_2 + H_2$
The liberation of hydrogen gas creates a reducing atmosphere,which prevents the oxidation of ferrous chloride $(FeCl_2)$ to ferric chloride $(FeCl_3)$.

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