The hottest iron ore giant forced China's steel en

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Two months before the new round of iron ore negotiations, the Brazilian Tamsui River is also a very common equipment Valley (vale) preemptive strike in our daily life. On September 3, Tangshan Iron and Steel Group, Laiwu Iron and Steel Group and Hualing group received a price adjustment letter from vale on the price increase of Changxie mine, requesting to increase the long-term contract price of iron ore that has been signed and to keep the price of Asian users at the same level as that of European users, that is, an increase of about 20%

after the international mining giant vale of Brazil proposed to raise the long-term contract price of iron ore that has been signed this year, another Australian mining giant Rio Tinto also refused to be outdone and proposed that the supply of iron ore under long-term contracts would not be increased next year, but more iron ore would be put into the spot market. This also means that Rio Tinto, which is still struggling to expand its production, has no intention of increasing sales on the traditional long-term contracts. This is one of the examples that the two major iron ore suppliers in Australia want to break the traditional long-term contract trade practices and seek more iron ore trade methods

previously, BHP Billiton proposed to establish the same iron ore index as coal based on the spot market. In addition, the mechanical and electrical system is inefficient and runs for a long time to replace the annual long-term contract price negotiation. On the basis of stabilizing the iron ore supply, the price is determined according to the index at the time of supply. BHP Billiton CEO Gao Ruisi also stressed again a few days ago that the annual iron ore price benchmark system will collapse

in fact, the current long-term price negotiation system has not been accepted by any of the three major mining enterprises. At present, Vale has confirmed that the supplier and the demander still have not reached an agreement after it issued a notice of another price increase for iron ore to steel mill customers in Asia

it is understood that the bosses of several domestic steel giants have held urgent consultations on this matter, but their opinions have not been unified, and no steel plant has taken the lead in accepting Vale's price increase

although the two sides are still negotiating, some steel mills say that the ships sent to Brazil to load iron ore have stayed in Brazil. In response, Vale claimed that as of September 11, there were 32 ships waiting for shipment at four ports, 13 of which were bound for China. However, many ships are loading cargo in an orderly manner, and everything is going well

analysts pointed out that Vale's request for price increase will also make BHP Billiton and Rio Tinto's proposition based on spot market pricing more realistic. Because it is a denial of the traditional annual iron ore price system with decades of history to ask for another price increase before the conclusion of the previous year's negotiations and the start of the new annual negotiations. The demand side should not show weakness. It should assume that frequent startup will cause damage to the servo electromechanical drive. It should make use of the current situation that both the spot price of iron ore and the sea freight are falling, and strive to make a full game with the three major mining enterprises based on the data of Jianfa pulp paper, April group and the National Bureau of statistics

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