Iron ore prices broke records, China finally decided to intervene

On Sale: HEX V2 Only US$39.99, GOLO 3 Only US$36.99. Wholesale 2019 Latest Desgin EPS Cutting Machines
hot wire cnc foam cutting machine
hot wire cnc foam cutting machine

As we are making EPS block machine,EPS recycling machine and CNC foam cutting machine,these machines need lots of steel.The steel price goes up a lot after labour’s festival due to the iron ore international market.We pay attention to the price change too.

China-Australia relations have recently turned down sharply. This is directly related to Australia’s follow-up to the US’s China policy. Government officials and media reporters in that country have been playing up the atmosphere of the Sino-Australian war for a long time and facing Australia. This kind of government behavior, our country will absolutely not swallow its anger. Earlier this month, it directly stopped all activities under the strategic economic mechanism of the two countries. This has given a further impetus to the deterioration of China-Australia relations. effect. You must know that my country is the most populous country in the world, which means that my country has the largest market in the world, and many countries have established trade cooperation relations with my country, which naturally includes Australia.

CNC foam cutting machine
PSQ300 CNC foam cutting machine

my country imports a large amount of Australian iron ore Under such circumstances, my country has already imposed anti-dumping duties on a variety of Australian exports, which has caused certain economic losses to the country. However, an Australian economist published an article in the newspaper saying that Australia has won an absolute victory in the Sino-Australian trade war. Why did he say such a thing? It mainly lies in the iron ore exported by Australia to my country. As we all know, my country is a big industrial development country, and even has the title of “infrastructure madman”, especially in the field of steel production, and it is firmly ranked first in the world. Nearly half of the world’s production capacity comes from my country, which makes my country has extremely high demand for iron ore.

For various reasons, nearly 80% of my country’s iron ore is imported from abroad, and most of the imported iron ore comes from Australia. The economist’s article stated that as long as the price of iron ore rises, Australia can continue to reap huge benefits from China’s countermeasures.

Iron ore prices are soaring Indeed, since the beginning of this year, the Platts 62% iron ore index has been showing a clear upward trend. At the end of last month, it had broken the previous year’s highest record and reached 193.85 US dollars/ton, but this is not this year’s The highest value. Since the beginning of this month, the iron ore index has broken through the US$200/ton mark, which has never happened before in the iron ore market. Just in the middle of this month, the Platts Iron Ore Index Reached the highest value ever, which is 229.55 US dollars / ton.

With such high prices, Australia, as my country’s largest iron ore importer, naturally makes a lot of money. Even as the country’s economists have said, it is enough to make up for my country’s previous anti-dumping duties imposed on the country. The economic losses caused, and even part of the surplus, fully reflects the shortcomings of our country’s high dependence on Australian iron ore.

my country’s five attempts to regulate iron ore prices Faced with the continuous increase in the price of iron ore, my country will naturally not stand idly by. Since the end of last year, it has made five attempts to regulate the price of iron ore. In December last year, the China Iron and Steel Association adjusted the iron ore price formation mechanism and competed with three miners in the world for pricing power. In March of this year, the China Iron and Steel Association held talks with a number of trading institutions, the main purpose of this meeting. It is to rebuild the iron ore pricing mechanism.

At the end of April, the China Iron and Steel Association asked for a larger scale of iron ore mining at home and abroad, so as to ensure that the steel industry receives a sufficient supply of iron ore, which is conducive to stabilizing the country’s steel production capacity. In May, many domestic exchanges have adjusted the hype about iron ore prices in this market, mainly by increasing the iron ore contract trading limit. On the following 14th, many cities in my country had talks with local steel companies, mainly requiring all companies to pay attention to relevant regulations in the transaction process, especially in terms of prices, it is necessary to be reasonable and realistic, and any behavior that disrupts the market is prohibited. occur.

Australia’s economy suffers from falling iron ore prices my country’s five shots have largely restricted the further increase in iron ore prices, and even the main iron ore contract has fallen sharply. The previous price of US$229.55/ton will no longer exist. In the future, the price of iron ore Prices will never return to such a high price range, which is conducive to reducing my country’s import costs. Although this is good news for our country, it is not for Australia. The country has been waiting to return blood in this field as soon as possible. Export trade dropped again. In fact, the government of this country wanted to file lawsuits with the WTO on many occasions and raised dissatisfaction with my country’s relevant policies, but they were all rejected by the WTO.

How useful was this post?

Click on a star to rate it!

Average rating 0 / 5. Vote count: 0

No votes so far! Be the first to rate this post.

Related Post

Be the first to comment

Leave a Reply

Your email address will not be published.