Re-export tariff increases limited impact on the ferroalloy industry

May 22, 2007. The Information Office of the Ministry of Finance issued a revision to the import and export tariff rates mouth documents, said that since June 1, 2007 onwards to further control high energy consumption, high pollution and resource products exports, increase energy, resource-type products, the imports of key parts for the trade balance, by the State Council Tariff Commission, the ninth plenary session for deliberation and approval, and approval by the State Council. China will adjust the import and export of goods tariff. Today, "State Department tentative adjusted merchandise import and export tax notice," the official promulgation, 14 tariff numbers involved ferroalloy related species, which ferrosilicon, and ferrochrome export tariffs by 10% is raised to 15% again so ferroalloy industry is particularly concerned. However, the current abnormal fiery manganese alloy is not included adjustments led to the industry greatly surprised. 1,The current adjustment, ferrosilicon, ferromanganese, silicon, manganese, ferrochrome exports from the current rate of 5% to 10% adjustment, and special alloy and alloy composite parts will be developed from scratch, from the implementation of 10% 0 adjustment. This policy promulgation and enforcement of China's ferroalloy industry will have far-reaching impact of the state's macroeconomic control efforts is evident. For ordinary alloy exports form a certain pressure, for some alloys industry to some extent reduce exports to domestic sales, certain export restrictions.
2, 1-4 in 2007 Ferroalloy production 42.7%% growth in 2007 1-4 China's total iron production reached 4.934 million tons, in 2006 for the same period 3457600 tons, an increase of 42.7%, the rate of increase is still well above the 2006 full year 30.93% increase in the same period last year.
2007 1-4 in the monthly output is higher than the same period in 2006 (Table 1) January-April on the basic considerable increase in the same period last year.
March 2007 ferrochrome imports to 129995.6 tons. exports to 16330.96 tons, in March net imports reached 1.136646 billion tons, reaching the highest place ferrochrome heavily dependent on imports of the status quo does not change soon.
Ferrosilicon In the wake of the December 2005 of 132033.2 tons of high exports, by January 1, 2005 onwards abolish ferroalloy merchandise export rebate policy OK-February export volume hit bottom. November 1, 2006 the state once again against ferroalloy imposed 5% export tariff, started 10%. Ferrosilicon exports again experiencing a big blow But the current adjustment fluctuations in the number and time are much smaller than the previous tariff adjustment shock.
3, increased export tariffs on iron outlook limited impact on the 07 entry, As China's steel market has markedly improved, and the upgrading of steel prices, steel production rapid release, ferroalloy market demand is rapidly increasing, especially in international areas, to improve China's manganese, chromium ore in the month. domestic ferroalloy market prices have also followed suit, even as demand for the issue has also led to the current silicomanganese. ferromanganese alloys, such as the shortage situation.
While state control of energy-consuming industry growth, the other is the strong market demand, and the international dimension of our mineral also constantly upgrading the price so that the number of ferroalloy industry into an awkward position. Although the iron market prices raise rates is not small, but the price hike is an important factor because alloy due to an increase in the cost of upgrading.
Currently Ferrosilicon prices had risen to 6,000 yuan per metric ton (ROD)% The upturn in the steel industry and steel raise the level of profit is to raise steel prices ferrosilicon procurement of the most fundamental reasons, and the increasing cost of electricity price is ferrosilicon prices raise the most direct factor. Steel tariffs in the current upward after the procurement of ferrosilicon chrome and ferroalloy Although we will make certain the initiative, but will still need a short cycle, Ferrosilicon prices affect the trend of the cost of electricity in the state has increased macro-control, resolutely implement differentiated pricing backdrop of the change is more severe, electricity consumption of 9,000 tons of ferrosilicon still cost a lot of pressure, although the export of certain restrictions, stable at 900 yuan per metric ton (FOB) to try to raise difficulties can be imagined, but later the amount was not optimistic about the overall supply, Although some level of exports would have to sell, but in the short term ferrosilicon prices slide conditions is not sufficient.

EU to seek restrictions on Chinese imports of stainless steel

One of the world's largest music Security tournament Mittal said that with China's stainless steel exports continue to increase, European manufacturers may take action to prevent its below-market prices to export to Europe. Baosteel last month have pointed out that the Chinese stainless steel production and exports may lead to rapid growth from the United States and the EU's anti-dumping. On game music Mittal and Baosteel president today in Japan will attend the International Stainless Steel Forum.
Security tournament Lok Mittal, vice president of stainless steel, the subject imports from China increased, European stainless steel prices since the beginning of this year have dropped 35%, manufacturers are seeking ways to address them. In 2006, China has surpassed Japan to become the world's largest stainless steel producer, its production capacity far exceeds the increase in domestic demand, China's stainless steel this year is expected to increase 50% yield possible. According to another by higher inventory and customers of a new cargo, the company Fenlanaotuo Kumpu two stainless steel output will be 10% quarterly.

Steel products to levy export tariff policy introduced

From the Ministry of Finance website news, the Information Office of the Ministry of Finance disclosed that in order to further control high-energy consumption, high pollution and resource products exports, increase energy and resources products, the imports of key parts for the trade balance, by the State Council Tariff Commission, the ninth plenary session for deliberation and approval, and approval by the State Council. Since June 1, 2007, China will adjust the import and export of goods tariff.
Current adjustment 142 commodities will levy export tariff. Which focused on more than 80 steel products by 5% to 10% further increase in the levy export tariffs These products include carbon steel wire rod, sheet, profiles and other steel products. Meanwhile, last year the imposition of export tariffs on steel billet, steel ingot, pig iron and other steel primary products duty from 10% to 15%. This is the second in April this year to abolish the steel products export tax rebates, Another 70 kinds of other steel products substantially lowering the export rebate, the view of excess production capacity, The rapid growth of exports of steel products to further macro-control measures. In addition, this is also the natural graphite, rare earth, refined lead, dysprosium oxide. Tb4O7 and some non-ferrous metal debris and other waste products of export levy of 10% tariff; APT right side, molybdenum oxide, ammonium molybdate, molybdenum sodium, magnesite, magnesium burn the introduction of products such as 5-15% of export tariffs. Of nickel, chromium, tungsten, manganese, molybdenum and rare earth metal ore export tariffs from the current 10% to 15%; of coal tar, some iron, not unwrought zinc, fluorite, non-coniferous Wood film export tariffs from the current 5-10% to 10-15%.
The same time, to encourage imports, promoting trade balance will be right 209 imported commodities to implement the tentative lower tax rate. Of these, coal, fuel oil and cork products, and other resources of the provisional tariffs for 0-3%; Pai pump, seal, bearing and valve spare parts, air-conditioning and refrigerator compressor and components, engineering machinery parts, camera parts. TV parts, camera lens, and other key parts of the provisional tariffs of MDGs.
Market for the rich, promote consumption, and this is also part of the lives of the common people's daily necessities implemented a lower provisional import duty including baby food, kitchen utensils, cutlery, food processing machines, vision lenses, building materials, decorative ceramics, household appliances, its provisional tariffs of 6-17%.

Next wave of steel industry merger wave will patronize Asia

Secretary-General of the International Iron and Steel Institute Christmas (IAN CHRISTMAS) Monday in the Reuters global mining and steel Summit is expected next wave of steel industry consolidation waves swept through China, given birth to the major international firms will cost the Western steel manufacturers pose a serious threat.
Road, he warned, "Beware of the" China impact on the emerging industry of steel companies, he pointed out, Western steel companies will need to adjust to the best condition, and should have a clear strategic threat, "had to work very hard to get ahead."
He said that Europe and America have no major steel producers for the acquisition. China, as the world's largest steel producer and a net exporter, but has not materialized steel industry acquisitions. scattered pattern for the industry. He pointed out that five of China's largest steel producers in the domestic market share is even lower than five years ago.
He said that the Chinese government seems to have to create several world-class steel manufacturers strategy Taking into account transport costs of these plants are likely in coastal areas, but also take the lead industry restructuring mission. He predicted that the supply of raw materials in overseas investment strategy mentioned help, within a few years China will be the international iron and steel enterprises to investors owners stated their identity.
Likely to be involved in other sectors, including enterprise integration of manufacturers and iron ore mining group, bulk commodity prices rising for these enterprises have accumulated huge capital.
"Russian enterprises also have strong capital," he added. And noted that the Russian steel manufacturers benefited from the country's vast railway system, lower salary levels of the past three years, M & A activities to the downstream enterprises.

More than 80 steel products export tariffs on coal to reduce import tariffs

Ministry of Finance recently announced that since June 1, 2007, 142 products will levy export tariff. Experts said that such a large increase in the volume of export tariffs, showing supervision departments to further control high-energy consumption, high pollution and resource products exports, the trade balance for the control determination.
Control of steel products into focus. The focus of the current adjustment is more than 80 steel products further levy of 5% -10% export tariffs, these products include carbon steel wire rod, sheet, profiles and other steel products. Last year, the imposition of export tariffs on steel billet, steel ingot, pig iron and other steel primary products duty from 10% to 15%. the Ministry of Finance said This is the second in April this year to abolish the steel products export tax rebates, Another 70 kinds of other steel products substantially lowering the export rebate, the view of excess production capacity, The rapid growth of exports of steel products to further macro-control measures.
Related Steel Association official told reporters that this is the right steel exports to the further implementation of the macro-control measures, aim is to reduce the current continuous rise in steel exports. The responsible person said that this year's steel exports remained at the level of around 10%, is a more modest increase However, the domestic market can release products quickly pace, 80 various steel products further levy of 5% -10% of export tariffs to control the surge in exports, maintaining a surplus balance.