Will the spring of Steel industry come

    At the end of 2008, China steed market expressed the turn point and steel market began rebounded as the result of series stimulation of domestic demand. After New Year's Day, domestic steel market still rising.

    While whether the steel industry has really overcome the coal winter and the warm spring has really come ? Most expertises still think that the prospect of steel industry is not optimistic in 2009 considering of the elements such as macroeconomic situation, capacity and market demands of our domestic steel industry.

    Some economists still it's still not the wort time effected by financial crisis, the world economic situation remain serious in 2009.

    In December,2008, an issue from Union about economic forecast reported if the scale of economic stimulation program is not big and early enough, the global economic downturn will more serious and global economic rate slow down from 2.5％ of 2008 to 1%.

    The slow down of global economic increase will directly effect domestic steel export. China steel association think that, although 67 duty paragraph of steel export tax has been concealed, which is in favor of reduce the export coat, yet the steel products export in 2009 will still decline as the result of shrinking international market. At the same time steel indirect export will also decline if the electromechanical,household electrical appliances all appear the declined tendency in 2009.

    Meanwhile, international trade protectionism also began to rise along with the worsen of economic situation. In December, 2008, EU decided to impose anti-dumping duties upon China fastening piece export. On 9th, January,2009, EU also suggested imposing 25% temporary anti-dumping duty upon importing metal wire rod from China.

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