CISA iron ore prices will come down steel prices will remain low profit

 Luo stressed the need to adhere to the strategy of going out and increase overseas investment in iron mines, development, shares, increasing the proportion of foreign equity mad. He said steel prices in China currently total amount of overseas interest in mine 1.5 million tons, accounting in 2010 for 24% of the imports. The next five years this proportion will reach 40%.

(This article Source: NetEase of: Jiang Xuan)

BHP Billiton iron ore pricing model had changed again, from the quarterly to monthly pricing, while Rio Tinto and CVRD has taken yet on whether the monthly pricing position, but Luo reminder, the three mines are often joint operations, quarterly and monthly index pricing is pricing, pricing model does not open, transparent, and therefore in the global steel prices has not been recognized.

2010 full year, the domestic market, steel prices rose by 15.79%. Phases of view, the first rise in steel prices in April, in May after a continuous decline in steel prices, fluctuations in steel prices in September after an upward adjustment. China Steel Association believes that the rise in the domestic market, steel prices dropped, mainly due to changes in supply and demand of steel and impact.

Luo in iron ore prices this year, said the CIF is currently close to 200 dollars, this is Iron ore imports will ease in the second half, the price might drop.

early this year, rising steel prices are still in space. Former executive vice president of China Steel Association, said Luo, a steel price index for the end of 128.81, up by more than 3.52% early January, early February is still in the wave upward trend. And is this trend of global steel prices. He said the reason there is this trend of rising iron ore prices to promote, in 2011 the domestic steel prices likely to remain high-cost, high price and low profit status.

NetEase Finance Feb. 24 hearing in the Steel Association news conference today, said the first quarter, due to rising iron ore prices this year, although steel prices continue to rise, but steel prices are still likely to remain low profits. China Steel Association proposed to accelerate the establishment of a stable resource to maintain the original fuel system.