Last year's negotiations failed to fruition. This year's preparation for negotiations this year was the first to increase the price of iron ore by 19% in the 2006 fiscal year. Chinese steel companies are still facing painful lessons of nearly 10 billion yuan. Two months later, the annual new one. The round of global iron ore negotiations will start again. September 12, China Iron and Steel Industry Association, the country's iron ore imports have all qualified 70 steel enterprises summoned to Nanchang, to close import rights on expectations because imports of confusion leading to fiscal year 2006, China's iron ore negotiations fatal defeat .
The Steel Association brewing rights on September 12th, in accordance with the convening of the China Iron and Steel Industry Association (hereinafter referred to as the "Steel Association"), leaders of 70 steel giants from Baosteel, Handan Iron and Steel, Shougang, etc., gathered from all parts of the country to Nanchang, Jiangxi to participate in the steel An "internal meeting" of the Association.
“The debate was fierce.†Yesterday, a person who attended the meeting revealed to reporters after the meeting, “Because we have no iron ore import rights in the future.â€
The reporter learned that the main topics of the meeting include: iron ore import contract filing system, iron ore import agency system, and 2006 iron ore import and distribution companies qualification standards.
“The focus of everyone’s attention is on the qualification standards for iron ore import and distribution companies, which is what we commonly call the imported iron ore threshold.†The participant disclosed to reporters that “the initial intention of the threshold for the next year was designated as 'imports in 2005'. It has 700,000 tons of iron ore and a registered capital of 20 million yuan. It has a series of new standards, such as a storage facility such as a port yard or a mine investment abroad."
In fact, just in 2005, the Steel Association and the Minmetals Chamber of Commerce had passed the raising of the threshold and cut the country's iron ore importers from 425 to 118. The current threshold for implementation is that steel enterprises must produce more than 1 million tons of crude steel, traders have registered capital of more than 10 million yuan, and the number of imported iron ore in the previous year was more than 300,000 tons.
The reporter learned from the interview that the current 118 iron ore importers include 70 steel companies and 48 traders. This time, steel companies with imported iron ore qualifications have come.
"If the threshold is (in the previous year) 700,000 tons, how many companies will lose their qualifications?" Yesterday, in response to a reporter's inquiries, the Minmetals Chamber of Commerce officials categorically stated that "the standard has not yet been determined" and the participating steel associations are responsible for iron. Wang Liqun, deputy secretary general of ore import, said that he could not reveal any relevant information.
In fact, the above-mentioned meeting is one of the iron ore working conferences convened by steel companies every few months for steel companies. According to the importance of the matter, the number of participants in this meeting is more or less. There are sometimes 16 companies and sometimes more than 30 companies. The collective call for the collection of 70 steel companies was due to the issue involving all enterprises. Because if these new thresholds are implemented, a large number of steel companies will no longer have the right to import iron ore themselves.
Yesterday, Chen Zhanjun, the representative of the Securities Department of Handan Iron and Steel, said in an interview with reporters: “In the case that domestic mines supply part of iron ore, we have to import millions of tons of iron ore each year. Although China is an iron ore internationally, Large demand, but the import confusion, a large number of traders, leading to suppliers can easily raise the price of iron ore, so the reduction of iron ore importers imperative.†Another steel company, Heavy Steel is not willing to express their views on this.
A steel company official who declined to be named told reporters that this incident is too sensitive and nobody wants to be stopped because the price of iron ore bought from others is certainly high. According to the current market, the price of a hand-down is 10 dollars higher than the direct import per ton.
The reporter learned that since the conclusion of the global iron ore negotiations in the June 2006 fiscal year, the Steel Association and the Minmetals Chamber of Commerce began brewing to raise the threshold for import of iron ore and regulate the import order. However, this motion has been delayed for a long time. “The government does not have a special department to review and formulate import thresholds. This power is entrusted to the Steel Association and the Minmetals Chamber of Commerce. But they are all associations. Each steel company has its own path and each has its own background.†Xu Xiangchun, the Lange Steel Information Research Center at the Iron Ore Negotiations, pointed out the reasons. On the other hand, even if persuading steel companies, this threshold still needs to be recognized by the Minmetals Chamber of Commerce and traders. Yesterday, the relevant person in charge of the Minmetals Chamber of Commerce told reporters: “This threshold has not been determined yet. It must be discussed by the Steel Association and the Minmetals Chamber of Commerce and all importers.â€
Fatal injuries must be cured However, the time left for a new round of global iron ore negotiations has been left to China, and as a rule, a new round of negotiations will start each year in late November and early December. If you do not want to repeat the mistakes, China must make a decision in the short term.
As we all know, this year, China's steel companies represented by Baosteel participated in the global price negotiations for iron ore for the first time. Ultimately, the overall price increase of 19% is far behind the bottom price of China, which is 10% lower. The emergence of "Ghosts" in the negotiations has always been one of the core reasons why people have been recognized as having lost negotiations. It is reported that when the negotiations were deadlocked, two unknown importers in China privately reached price increases agreements with BHP Billiton and other global iron ore suppliers.
When summing up the lessons learned from the iron ore negotiations, Luo Bingsheng, the secretary-general of the Steel Association, said that “unobedient†importers have become fatal to the negotiations. At the most crucial moment of the negotiations, the Chinese side proposed that due to macroeconomic adjustments and other reasons, China will phase out 10 million tons of backward production capacity this year, so it is required that the other party cut prices by 10%. Unexpectedly, some importers have raided imports, causing imports of domestic iron ore to soar by 11 million tons year-on-year, causing undue demand for demand, leading the other party to take the opportunity to raise prices.
“Individuals who have long-term agreements import iron ore at low prices and resell them at high prices to small companies that do not have long-term agreements, resulting in the situation of 'one product, two prices' in the country.†Luo Bing said angrily. "The behavior of reselling iron ore was captured by the other party. They said to us, "Look, this may be your real price."
"There are too many 118 iron ore importers," Luo Bingsheng told reporters. "At present, Japan, the maker of iron ore Asian prices, has only 10 importers. This is undoubtedly their voice in the negotiations. The main reason."
Despite the time urgency, it is gratifying that China is step-by-step reforming its "soft ribs." Just earlier, iron ore importers had reached a consensus with the Steel Association and the Minmetals Chamber of Commerce. The steel import contract was submitted to the Steel Association for filing. The importer’s import contract was submitted to the Minmetals Chamber of Commerce for record so that they could learn about our country. Iron ore import real information
The Steel Association brewing rights on September 12th, in accordance with the convening of the China Iron and Steel Industry Association (hereinafter referred to as the "Steel Association"), leaders of 70 steel giants from Baosteel, Handan Iron and Steel, Shougang, etc., gathered from all parts of the country to Nanchang, Jiangxi to participate in the steel An "internal meeting" of the Association.
“The debate was fierce.†Yesterday, a person who attended the meeting revealed to reporters after the meeting, “Because we have no iron ore import rights in the future.â€
The reporter learned that the main topics of the meeting include: iron ore import contract filing system, iron ore import agency system, and 2006 iron ore import and distribution companies qualification standards.
“The focus of everyone’s attention is on the qualification standards for iron ore import and distribution companies, which is what we commonly call the imported iron ore threshold.†The participant disclosed to reporters that “the initial intention of the threshold for the next year was designated as 'imports in 2005'. It has 700,000 tons of iron ore and a registered capital of 20 million yuan. It has a series of new standards, such as a storage facility such as a port yard or a mine investment abroad."
In fact, just in 2005, the Steel Association and the Minmetals Chamber of Commerce had passed the raising of the threshold and cut the country's iron ore importers from 425 to 118. The current threshold for implementation is that steel enterprises must produce more than 1 million tons of crude steel, traders have registered capital of more than 10 million yuan, and the number of imported iron ore in the previous year was more than 300,000 tons.
The reporter learned from the interview that the current 118 iron ore importers include 70 steel companies and 48 traders. This time, steel companies with imported iron ore qualifications have come.
"If the threshold is (in the previous year) 700,000 tons, how many companies will lose their qualifications?" Yesterday, in response to a reporter's inquiries, the Minmetals Chamber of Commerce officials categorically stated that "the standard has not yet been determined" and the participating steel associations are responsible for iron. Wang Liqun, deputy secretary general of ore import, said that he could not reveal any relevant information.
In fact, the above-mentioned meeting is one of the iron ore working conferences convened by steel companies every few months for steel companies. According to the importance of the matter, the number of participants in this meeting is more or less. There are sometimes 16 companies and sometimes more than 30 companies. The collective call for the collection of 70 steel companies was due to the issue involving all enterprises. Because if these new thresholds are implemented, a large number of steel companies will no longer have the right to import iron ore themselves.
Yesterday, Chen Zhanjun, the representative of the Securities Department of Handan Iron and Steel, said in an interview with reporters: “In the case that domestic mines supply part of iron ore, we have to import millions of tons of iron ore each year. Although China is an iron ore internationally, Large demand, but the import confusion, a large number of traders, leading to suppliers can easily raise the price of iron ore, so the reduction of iron ore importers imperative.†Another steel company, Heavy Steel is not willing to express their views on this.
A steel company official who declined to be named told reporters that this incident is too sensitive and nobody wants to be stopped because the price of iron ore bought from others is certainly high. According to the current market, the price of a hand-down is 10 dollars higher than the direct import per ton.
The reporter learned that since the conclusion of the global iron ore negotiations in the June 2006 fiscal year, the Steel Association and the Minmetals Chamber of Commerce began brewing to raise the threshold for import of iron ore and regulate the import order. However, this motion has been delayed for a long time. “The government does not have a special department to review and formulate import thresholds. This power is entrusted to the Steel Association and the Minmetals Chamber of Commerce. But they are all associations. Each steel company has its own path and each has its own background.†Xu Xiangchun, the Lange Steel Information Research Center at the Iron Ore Negotiations, pointed out the reasons. On the other hand, even if persuading steel companies, this threshold still needs to be recognized by the Minmetals Chamber of Commerce and traders. Yesterday, the relevant person in charge of the Minmetals Chamber of Commerce told reporters: “This threshold has not been determined yet. It must be discussed by the Steel Association and the Minmetals Chamber of Commerce and all importers.â€
Fatal injuries must be cured However, the time left for a new round of global iron ore negotiations has been left to China, and as a rule, a new round of negotiations will start each year in late November and early December. If you do not want to repeat the mistakes, China must make a decision in the short term.
As we all know, this year, China's steel companies represented by Baosteel participated in the global price negotiations for iron ore for the first time. Ultimately, the overall price increase of 19% is far behind the bottom price of China, which is 10% lower. The emergence of "Ghosts" in the negotiations has always been one of the core reasons why people have been recognized as having lost negotiations. It is reported that when the negotiations were deadlocked, two unknown importers in China privately reached price increases agreements with BHP Billiton and other global iron ore suppliers.
When summing up the lessons learned from the iron ore negotiations, Luo Bingsheng, the secretary-general of the Steel Association, said that “unobedient†importers have become fatal to the negotiations. At the most crucial moment of the negotiations, the Chinese side proposed that due to macroeconomic adjustments and other reasons, China will phase out 10 million tons of backward production capacity this year, so it is required that the other party cut prices by 10%. Unexpectedly, some importers have raided imports, causing imports of domestic iron ore to soar by 11 million tons year-on-year, causing undue demand for demand, leading the other party to take the opportunity to raise prices.
“Individuals who have long-term agreements import iron ore at low prices and resell them at high prices to small companies that do not have long-term agreements, resulting in the situation of 'one product, two prices' in the country.†Luo Bing said angrily. "The behavior of reselling iron ore was captured by the other party. They said to us, "Look, this may be your real price."
"There are too many 118 iron ore importers," Luo Bingsheng told reporters. "At present, Japan, the maker of iron ore Asian prices, has only 10 importers. This is undoubtedly their voice in the negotiations. The main reason."
Despite the time urgency, it is gratifying that China is step-by-step reforming its "soft ribs." Just earlier, iron ore importers had reached a consensus with the Steel Association and the Minmetals Chamber of Commerce. The steel import contract was submitted to the Steel Association for filing. The importer’s import contract was submitted to the Minmetals Chamber of Commerce for record so that they could learn about our country. Iron ore import real information
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