Extraordinary Genius

2000. 2000 chapter big problem in the steel industry

Feng Yu is because of what, did not participate in this negotiation? It is a contract between Polar Bear Mining Conglomerate and China Steel Company.

Lituo Group and BHP must complete the merger in iron ore mining and transportation. The next step is of course to find stable procurement targets and ensure the benefits.

China just happens to have a large increase in steel demand, and the Lituo Group has just signed a joint venture agreement with China Aluminum, and then talked about the long-term supply contract for iron ore.

Every business wants to have stable and honest partners, and when new businesses look for partners, many people will choose partners who have worked together and trust.

China’s integrity is unquestionable, not to mention Feng Yu. Coupled with China’s permission to participate in the Polar Bear Mining Conglomerate, and also to ensure the interests of Kirilenko, then this thing was logically promoted.

However, the signing of this contract may bring a series of troubles. This trouble is mainly for China’s steel company.

The ore of Vale is sold to the country of rice, and then the country is sold to other countries and regions. However, the country now mainly develops special steel, ordinary steel, and they are now mostly imported.

And their biggest importer is China. China is the world’s largest importer of iron ore. Of course, it can’t consume so much steel. Even if China is doing a lot of infrastructure projects, it will definitely export.

Asia, Europe, and the Americas all have to export, and they are beginning to slowly open their markets. Because of what, because the price is cheap, the quality is superior.

China’s steel was once synonymous with inferior quality. Later, China also found that steel was a strategic material. So under the blockade of European and American technology, it invested a lot of research and development funds, researched its own technology, and in some respects, it was more than Europe and America. More developed.

In addition, the wages of steel mill workers in China are generally not too high, and many of them are still old traditions and dedication. Therefore, China’s steelmaking costs have become very low, far below the European and American sides.

China transported the steel to the other’s port, and the result was still cheaper than the other’s steel, so the steel mill in the country was seriously threatened, and it is very likely that the product could not be sold.

In fact, the capacity of the country’s own steel mill is enough to ensure the use of the country, so there may be a problem here, that is, the m. Congress imposes sanctions on China’s steel exports, as long as China’s steel is dumped on the rice country.

Not only can they be fined, but they can also receive import surcharges, that is, retaliatory and punitive tariffs to protect the interests of their own company.

At the beginning of this year, the country has already done so. Their Steel Workers’ Federation claimed that China’s export of car tires to the United States disrupted the market freedom of the country, so it should impose punitive tariffs on China’s tires for three consecutive years.

This steelworker federation is everything related to steel, and they can all get in.

To put it bluntly, this is a kind of local protection. Who made China’s current export growth too fast, seriously threatening the interests of the country. And not only the interests of the country, but also the interests of many countries such as the EU.

It was difficult for China to enter the WTO at the beginning. Many countries believed that once China joined, it would have a disastrous impact on the manufacturing industry of their country, because they all competed with China’s Company.

But in the end, China’s accession to the WTO was facilitated by the country, because the country wanted to open the China market and could not protect each other.

At first, the country was making a lot of money, but now it seems that China has earned more, and the country has begun to suffer.

The tire exports of the China team in the past few years have increased nearly fourfold and the speed is too fast. This has aroused the vigilance of the relevant company in the country, they found that although the market is growing, more money seems to have been earned by the China Company.

The economic crisis, the people of the country have also begun to buy bargains, and the country’s own tire company, such as Goodyear, what is competitive, the competitiveness is weak.

At that time, Feng Yu was in the dark to find someone to help, and the punitive tariffs were cancelled, but China also secretly gave some other compensation, such as the purchase of the national debt, which is a compromise.

Of course, at the same time, China has also counterattacked, and also imposed high tariffs on some of the export products of the country, and China seriously suspects that this is because China does not import GM foods and seeds related to rice.

China is now more emboldened, that is, Polar Bear Mining Conglomerate acquired the Lituo Group, which can affect the price of raw materials such as ore to some extent.

Rice has always been a major importer of raw materials, and now China does not sell it. We keep raw materials and produce it ourselves. Let the cost of raw materials in your country rise to the next level, and then make your products less competitive internationally.

This is exactly the case, so that the country has once again counterattacked, they have to impose sanctions on China’s steel, to impose penalties, to impose punitive tariffs.

In fact, if it is only so opposed to the country of rice, China is not worried at all, the two lose, the country suffers more.

However, according to WTO rules, if China accepts these penalties, other countries can follow these programs. For example, the EU, Japan, etc. can also impose penalties on such products in China and impose punitive tariffs.

As a result, China’s overall exports of the industry will suffer a major blow, and China will suffer even more losses, which may trigger a wave of resistance to China’s exports.

It seems that this is the counterattack of the rice country on China’s delay in purchasing the national debt of the country. They all said that you have added conditions to China. Is this excessive? Our country is short of money, but it is not being bullied.

In fact, there are many contradictions between China and the EU. For example, the photovoltaic industry also wants to decide on dumping. China’s photovoltaic industry is mainly Feng Yu’s investment, thanks to the help of the state, otherwise that part of the industry will greatly reduce Feng Yu’s profits.

Of course, this will also reduce China’s tax revenue and reduce the income of those Company employees.

In fact, the acquisition of the Lituo Group by Polar Bear Mining Conglomerate has already caused the EU and the country to blame it many times, but it has been hard-backed by Russia, which also represents the interests of Russia.

Now it is a joint venture with China Steel Company to produce steel, which will once again provoke the nerves of Europe and America. Feng Yu is deliberately avoiding Reid and not let Reid have the opportunity to communicate with him for the first time. He wants to see what choices will be made in the country.

If you still have to impose sanctions, then Feng Yu will not invest another cent in the country!

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