Chinese steel production was 7.7% higher in the seven months to July than in the corresponding period of 2012, according to the World Steel Association. Output in Europe and the USA was down 5.3% in both places. There are two charts at (VIEW LINK) showing monthly Chinese production rates during 2011-13 and the global distribution of production. China is far and away the largest steel producer on the global stage contributing 456 million tonnes out of 922 million tonnes in the seven months to July. The next largest producer was Japan but, with output of only 64 million tonnes, it was well behind the leader. Production in the world's largest economy, the USA, was a relatively meagre 51 million tonnes. China might complain about an iron ore cartel but it is now in the box seat to set global steel prices.
John Robertson is Chief Investment Strategist for PortfolioDirect a provider of resource sector investment stock ratings and portfolio strategies for mining and oil and gas investors. He has worked as a policy economist, corporate business...
Might explain Bluescope's cyclical slowdown in Chinese imports. BSL's got an uphill battle if it wants to remain competitive.