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China to take 70pct stake in strategic USD 7.2 billion port in Myanmar

Reuters reported that China has agreed take a 70 percent stake in a strategically important sea port in Myanmar, at the lower end of a proposed range amid local concerns about Beijing's growing economic clout in the country, a senior government official said.

Mr Oo Maung, vice chairman of a government-led committee overseeing the project, said Myanmar had pushed for a bigger slice of the roughly USD 7.2 billion deep sea port, in western Rakhine state, in negotiations with a consortium led by China's CITIC Group. Agreement was reached in September.

Mr Oo Maung said that "Locals from Rakhine and communities across Myanmar think that the previous 85/15 percent agreement is unfair to Myanmar. People disagree with the plan and the government is now trying to make a better deal."

He said that the new proposal has been sent to the office of Myanmar's Vice President Henry Van Thio for approval. But the two sides have not yet reached an agreement on financing details, saying further negotiations were needed to move the project forward.

Beijing-based CITIC, China's biggest and oldest financial conglomerate, did not immediately respond to requests for comment.

Mr Yuan Shaobin, executive president of CITIC Myanmar, told the Myanmar Times in an interview published that the company had agreed to a 30 percent stake, but also said more negotiations were needed to iron out the financing details.

Reuters in May reported that state-owned CITIC had proposed taking a 70-85 percent stake in the Kyauk Pyu port, a part of China's ambitious "Belt and Road" infrastructure investment plan to deepen its links with economies throughout Asia and beyond.

Source : Reuters
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Tesla gaat fabriek bouwen in China

Maker elektrische voertuigen wil productiekosten drukken.

(ABM FN-Dow Jones) Tesla heeft een deal gesloten om in Shanghai in China een productiefaciliteit te bouwen. Dit meldde The Wall Street Journal zondag op basis van bronnen.

Met de deal met de lokale overheid in Shanghai kan de maker van elektrische voertuigen een fabriek bouwen in de vrijhandelszone van de stad, volgens personen bekend met de plannen. Deze overeenkomst, de eerste in China voor een buitenlandse autofabrikant, geeft Tesla de mogelijkheid om de productiekosten omlaag te brengen. Het Chinese importtarief van 25 procent ontloopt Tesla overigens niet.

Momenteel werken Tesla en Shanghai aan de details van de overeenkomst zoals wanneer de deal wordt aangekondigd, zeiden de bronnen tegen The Wall Street Journal. Een woordvoerder van Tesla wilde geen reactie geven aan de Amerikaanse zakenkrant en de overheid in Shanghai reageerde niet op verzoeken daartoe.

Tesla zei in juni van dit jaar dat men voor het eind van 2017 duidelijkheid zal geven over de plannen in China. Op 1 november aanstaande komt de onderneming met derde kwartaalcijfers.

Door: ABM Financial News.

info@abmfn.nl

Redactie: +31(0)20 26 28 999

(END) Dow Jones Newswires
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Chinezen azen op miljardenbelang in lithiumbedrijf SQM

Luchtfoto van een lithiummijn van SQM in Chileense Atacamawoestijn.Foto: Ivan Alvarado/Reuters

Het Chinese staatsbedrijf Sinochem is een van de bieders op een belang van $4 mrd in Sociedad Química y Minera de Chile (SQM), een van de grootste producenten ter wereld van lithium. Dat is een belangrijke grondstof voor accu's in elektrische auto's. Dat schrijft de Financial Times maandag op basis van anonieme bronnen.

De Canadese kunstmestfabrikant Potash moet zijn belang van 32% in SQM SQM$59,46+0,27% verkopen om aan de voorwaarden van mededingingsautoriteiten te voldoen. Deze zijn nodig voor de goedkeuring van de fusie met branchegenoot Agrium.

Lees ook
Tesla bouwt autofabriek in China

Naast Sinochem zouden ook de Chinese investeringsmaatschappij GSR Capital en de Chinese bedrijven Ningbo Shanshan en TianqiLithium in de race zijn. China is de grootste markt voor elektrische auto's. Daarnaast heeft de overheid een ambitieus plan aangekondigd om de komende jaren een leidende positie in te nemen op het gebied van elektrische auto's. Dit zorgt ervoor dat Chinese bedrijven proberen om de levering van belangrijke grondstoffen voor de productie van elektrische auto's veilig te stellen.

Kobaltmijn in Congo

Zo nam GSR Capital eerder dit jaar al de accudivisie van Nissan over. Daarnaast tekende de Chinese autofabrikant Great Wall Motor vorige maand een contract met de Australische lithiumproducent Pilbara voor de levering van de grondstof in de komende vijf jaar.

Ook Jianxi Special Electric Motor kocht eerder dit jaar een belang in een buitenlandse lithiummijn. En vorig jaar nam het eveneens Chinese Molybdenum voor $2,65 mrd de belangrijke koper- en kobaltmijn in Congo over. Kobalt is net als lithium een belangrijke grondstof voor accu's.
China wil niet alleen zelf elektrische auto's maken, maar ook de controle krijgen over andere essentiële onderdelen in de productieketen. Daarom wil het ook toegang tot grondstoffen hebben en de verwerking ervan tot accu's veilig stellen.

Lees ook
Oliestaat Noorwegen omarmt de elektrische auto

Brandstofauto's in de ban

Om de transitie naar elektrisch rijden te versnellen, overweegt de Chinese regering een deadline in te stellen voor de productie en verkoop van traditionele brandstofauto’s. Eerder gaven landen zoals het Verenigd Koninkrijk en Frankrijk al aan dat vanaf 2040 benzine- en dieselauto’s worden verbannen. In het regeerakkoord van kabinet-Rutte III staat het streven om uiterlijk in 2030 alle nieuwe auto’s emissieloos te laten zijn.

Europa maakt zich zorgen
Europa kijkt ondertussen al een tijdje met argusogen naar de Aziatische en met name Chinese dominantie. Want terwijl de hoeveelheid elektrische auto's in Europa groeit, rijdt het grootste deel van de elektrische voertuigen rond met een Aziatische batterij. Slechts 2,5% van de ingezette accu's is Europees, becijferde persbureau Bloomberg.

'We kunnen die markt niet aan concurrenten geven', sprak eurocommissaris Maros Sefcovic van Energie eerder deze maand. Brussel wil daarom meerdere gigafabrieken in Europa bouwen waar accu's voor elektrische auto’s worden gemaakt.

Mijnbouw revival in Europa
Europa staat mogelijk ook aan de vooravond van een mijnbouw revival als gevolg van de opkomst van de elektrische auto. Zo liggen er rond het dorpje Cinovec, dichtbij de grens met Duitsland en het hart van de Duitse auto-industrie, enorme hoeveelheden lithium in de grond, goed voor 3% van de totale wereldvoorraad. Het Australische bedrijf European Metals, die de exploratierechten kocht in 2012 wil in 2019 beginnen met de productie ervan.

In de eveneens nog te ontwikkelen Jadar-mijn van Rio Tinto in Servië liggen ook grote hoeveelheden lithium. Volgens sommige schattingen gaat het zelfs om een van de grootste reserves ter wereld. Servië hoopt dat Rio Tinto die vanaf 2023 zal kunnen gaan produceren.

fd.nl/ondernemen/1224081/china-aast-o...
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China to explore iron ore in Peru

Bnamericas reported that Peru, traditionally a copper, zinc and precious metals miner, is closer to becoming a regional force in the iron ore industry as Chinese mining companies ramp up investment.

Zhongrong Xinda Group's Jinzhao Mining unit plans to start construction at its USD 2.5 billionn Pampa de Pongo iron ore project in the second quarter of 2018. The company aims to finish work on a feasibility study next month for the 21,200ha property in Arequipa region before securing final permits from the energy and mines ministry. The project, which has 3.4 billion tonne in reserves, is designed to produce 22.5 million tonne per year.

The project, which is scheduled to start operating in the third quarter of 2019, involves USD 1.3 billion in mine development and USD 1.2 billion in plant construction. The project will also feature a desalination plant and a slurry pipeline to the port of Marcona.

Source : Bnamericas
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Chinese aluminum demand to grow upto 10pct in 2017

Reuters reported that China’s biggest state-run aluminum producer consumption of the metal is set to increase by 9 to 10% this year on the back of strong downstream demand, and keep growing at a faster rate than the country’s gross domestic product (GDP) in 2018. Mr Ge Honglin chairman of Aluminum Corp of China told Reuters that consumption was expected to come in at 26.25 million tonnes in the first three quarters of 2017, up 9% year on the year, with peak end-year demand yet to come.

The executive, a delegate at China’s 19th Communist Party congress, said that Chinalco expects national aluminum consumption growth “will continue to be higher than GDP in 2018, and the huge consumer demand will remain the ballast for the healthy development of the global aluminum industry”.

China, which is targeting GDP growth of around 6.5% this year, has not yet set a 2018 goal. The International Monetary Fund sees China’s GDP climbing by 6.5% in 2018.

But asked how his company would be affected, Ge mentioned only cutbacks in Shandong and Henan processing of alumina, a substance used to produce aluminum.

Mr Ge said that rising prices of alumina, carbon and power have pushed up primary aluminum production costs by 14% this year,

He added that aluminum demand from China’s packaging sector was up by 20% in January-September, while demand from real estate, transportation and electronic products grew by 8% and the power sector by 5%.

Source : Reuters
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China import of lead, iron ore imports from North Korea down sharply after UN sanctions

Reuters reported that China’s imports of iron ore and lead concentrate from North Korea plunged to their lowest in more than six years, while coal arrivals fell sharply after the United Nations’ latest sanctions against the isolated nation.

Lead ore and concentrate arrivals totaled just 1,321 tonnes, worth USD 1.18 million, down 84% from a year earlier and the lowest on Reuters records dating back to January 2010, according to data from the General Administration of Customs.

Iron ore shipments plunged 98% to 3,035 tonnes, worth about USD 55,000, the lowest monthly volume on Reuters records from January 2011.

China imported 511,619 tonnes of coal, worth about USD 44 million, from North Korea, down 71.6% from a year earlier.

The data represents the final shipments allowed through customs before the UN penalties came into force on Sept. 5, banning Pyongyang from selling coal, iron ore, lead, lead ore and seafood abroad.

Numbers released last week showed trade between the world’s second-largest economy and its northern neighbor totaled USD 412 million, the weakest since April.

The UN Security council unanimously imposed new sanctions on North Korea. The sanctions took effect this month, but China enforced the new measures from Aug. 15, amid growing pressure from the United States to rein in Pyongyang’s missile program.

Source : Reuters
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Europa overspoeld door Chinese e-bikes van lage kwaliteit

Wordt Europa overspoeld met te goedkope e-bikes die in China met staatssteun zijn geproduceerd? De Europese Commissie heeft een onderzoek ingesteld naar de import van elektronische fietsen uit China. Aanleiding is een klacht van Europese fietsfabrikanten die onder de concurrentie lijden.

Annemieke van Dongen 27-10-17, 16:11 Laatste update: 16:17

In onder meer Dieren, Heerenveen, Lelystad en Apeldoorn worden fietsen van merken als Gazelle, Batavus, Giant en Sparta gemaakt. Een kwart van de arbeidsplaatsen in Nederlandse fietsfabrieken en bij toeleveranciers dreigt komende maanden te verdwijnen, stelt voorzitter Moreno Fioravanti van de European Bicycle Manufacturers Association. ,,Fietsfabrikanten zien hun productievolume snel verdwijnen doordat gesubsidieerde e-bikes uit China hier te goedkoop, of zelfs onder de kostprijs, op de markt worden gedumpt.''

De verkoop van Nederlandse e-bikes staat momenteel zwaar onder druk, bevestigt een woordvoerder van een grote Nederlandse fietsfabrikant die - uit angst voor repercussies vanuit China - anoniem wil blijven. ,,Het aantal uit China geïmporteerde e-bikes is binnen een jaar verdubbeld, van 400.000 naar 800.000. Dat hakt erin op een totale Europese markt van zo'n 2 miljoen verkochte e-bikes. Chinese fietsen zijn een kwart tot meer dan 50 procent goedkoper. Dus daar hebben wij veel last van.''

Lage kwaliteit

Voordelige fietsen zijn voor consumenten natuurlijk prettig. Toch vindt ook de Fietsersbond het goed dat Europa actie onderneemt tegen de ongebreidelde import van Chinese e-fietsen. ,,De kwaliteit is vaak erg slecht vergeleken bij Europese e-bikes'', zegt woordvoerder Kees Bakker. ,,Dat bederft niet alleen het fietsplezier. Slechte onderdelen zoals remmen hebben ook een negatief effect op de veiligheid.''

Eerder legde de EU al importheffingen op aan onder meer zonnepanelen, staal en gewone fietsen uit China, omdat die oneerlijke concurrentie vormden voor Europese producenten. Het Europese onderzoek naar e-bikes moet binnen 15 maanden zijn afgerond. De EU kan met terugwerkende kracht importheffingen opleggen voor e-bikes die in de tussentijd uit China worden geïmporteerd.

www.ad.nl/economie/europa-overspoeld-...
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AkzoNobel rondt uitbreiding fabriek China af

Gepubliceerd op 1 nov 2017 om 10:43 | Views: 556

Akzo Nobel 16:13
77,72 -0,02 (-0,03%)

AMSTERDAM (AFN) - Verf- en chemieconcern AkzoNobel heeft de uitbreiding van een chemische fabriek in het Chinese Boxing afgerond. De uitbreiding, die 4,8 miljoen euro heeft gekost, zorgt ervoor dat de fabriek meer verschillende producten kan produceren voor onder meer de sectoren schoonmaak, persoonlijke verzorging, mijnbouw en de olie-industrie.

De uitbreiding in Boxing is de laatste in een reeks investeringen waarmee Akzo de productie in China wil verhogen. Een fabriek in Ningbo voor organische peroxides wordt momenteel uitgebreid. Vorig jaar bouwde Akzo ook al een alkoxyleringsfabriek in China.
AkzoNobel is momenteel bezig zijn speciaalchemiedivisie af te splitsen. De verkoop moet in april volgend jaar zijn afgerond. Verder praat Akzo met de Amerikaanse lakkenproducent Axalta over een fusie.
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Tangshan to halve winter iron production - Latest Notice

Reuters reported that Tangshan, China’s top steelmaking city, plans to temporarily halve its iron production capacity from mid-November until mid-March as local authorities step up efforts to fight winter smog, a notice from the municipal government showed on Tuesday. Tangshan, in northern China’s Hebei province, aims to temporarily ban production from a total of 18.21 million tonnes of ironmaking capacity, the notice said.

Two sources with direct knowledge of the matter confirmed the authenticity of the document.

The city government sets the levels of capacity reduction for individual plants based on their emission performances, using a third-party evaluation agency.

Plants that have failed to obtain a pollution emission license will be shut completely, the notice said.

Tangshan, about 180 km (112 miles) east of Beijing, has already ordered factories including rubber, plastic and paint makers, to make deeper cuts in production during winter when pollution worsens due to coal being used for heating.

Tangshan produces nearly 100 million tonnes of crude steel a year, more than the United States, and is routinely listed among China’s 10 smoggiest cities. It vowed last month to shut ceramic and cement factories and restrict road freight activities during the heating season.

Source : Reuters
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China criticizes US aluminium foil tariffs

Afternoon Voice reported that China has criticised new United States anti dumping duties on aluminium foil, saying it was “extremely dissatisfied” with the new measures, just days before President Trump visits Beijing. The tariff was announced on October 27th 2107 by the US following concern that China was undercutting American manufacturers by flooding the country with underpriced aluminium products.

But the timing has raised fears of a trade dispute during Trump’s first visit as president to the Chinese capital next week, when commerce between the nations is expected to be high on the agenda.

On Saturday evening, China’s Ministry of Commerce said that US was ignoring World Trade Organisation rules by introducing the duties and not fulfilling its international obligations. Mr Wang Hejun director of the Trade Remedy and Investigation Bureau said in a statement that “The US is not only harming the interests of Chinese companies, it is also damaging the seriousness and authority of multilateral rules and regulations.”

The US Commerce Department plans to impose fresh duties of 96.81% to 162.24 on Chinese aluminium foil imports to the US. The new tariff will affect the type of aluminium foil found in kitchens, packaging and automobiles.

Since assuming the presidency in January, Trump has largely refrained from taking the hard-nosed measures he boasted about on the campaign trail, where he threatened to label China a “currency manipulator”. But his administration has started to take a tougher line on trade.

Source : Afternoon Voice
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Chinese plans world’s longest tunnel to divert Brahmaputra water from Tibet to Xinjiang - Report

News18.com reported that Chinese engineers are testing ambitious techniques to build a 1,000-km long tunnel, the world’s longest, to divert water away from Brahmaputra river in Tibet close to Arunachal Pradesh to the arid Xinjiang region, a media report said. The tunnel is likely to be another source of tensions between India and China as the plan, if approved, would have huge ramifications for states along the eastern corridor as well as Bangladesh. Environmentalists in China have also raised concerns about the impact of such a project on the Himalayan region.

The proposed tunnel, which aims to "turn Xinjiang into California", would drop down from the world's highest plateau in multiple sections connected by waterfalls and provide water in China's largest administrative division, comprising vast swathes of deserts and dry grasslands.

Engineers want to divert water from the Yarlung Tsangpo River in southern Tibet, which turns into the river Brahmaputra once it enters India, to the Taklamakan desert in Xinjiang.

India has already flagged its concerns to Beijing about various dams being built by it on Brahmaputra river, which is known as Yarlung Tsangpo in China. Beijing has assured India and Bangladesh - which is also a recipient of the waters from the river - that its dams were of the run of river projects and not designed to store water.

China's longest tunnel is the 85-km Dahuofang water project in Liaoning province, while the world's longest tunnel is the 137-km main water supply pipe beneath the city of New York.

Mr Wang Wei, a researcher who helped draft the latest Tibet- Xinjiang water tunnel proposal, which was submitted to the central government in March, said more than 100 scientists formed different teams for the nationwide research effort. He was part of the team which was led by China's top tunnelling expert, Wang Mengshu. The team, according to the report suggested to drain Brahmaputra at Sangri county in southern Tibet, close to Arunachal Pradesh.

The report said that "Sangri county featured a large, relatively flat valley that was ideal for the engineering project. An artificial island would be built in the middle of the river to create rapid turbulence, which could filter out sediment, and direct water to a well. The well could control the amount of water flowing into the tunnel."

The Chinese government started building a tunnel in the centre of Yunnan province in August that will be more than 600-km long.

Researchers said that building the Yunnan tunnel would be a "rehearsal" of the new technology, engineering methods and equipment needed for the Tibet-Xinjiang tunnel, which would divert the Brahmaputra river to the Taklimakan Desert in Xinjiang.

Chinese engineers say the Tibetan Plateau, often referred to as "the roof of the world", stops the monsoon from Indian Ocean reaching Xinjiang leaving the Gobi Desert in the north and the Taklimakan Desert in the south unsuitable for human settlement.

The report said that in recent decades, Chinese government departments, including the Ministry of Water Resources, have come up with engineering blueprints involving huge dams, pumps and tunnels. The project's enormous cost, engineering challenges, possible environmental impact and the likelihood of protests by neighbouring countries have meant it has never left the drawing board.

Source : News18.com
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Flinke winstgroei Alibaba

Outlook omhoog.

(ABM FN-Dow Jones) Alibaba heeft in het afgelopen kwartaal aanzienlijk meer winst behaald en verhoogde de omzetoutlook. Dit maakte de Chinese e-commerce gigant donderdagmiddag bekend.

Het concern rapporteerde een winst van 17,7 miljard yuan, gelijk aan circa 2,7 miljard dollar, ten opzichte van 7,6 miljard yuan in dezelfde periode een jaar eerder. Analisten hadden op een winst van 12 miljard yuan gerekend.

De omzet voor het tweede kwartaal van het gebroken boekjaar bedroeg 55,1 miljard yuan. Een jaar terug was dit 34,3 miljard yuan.

De omzet uit de cloud activiteiten stegen met 99 procent tot 3 miljard yuan. Het onderdeel maakt nog geen winst, maar is wel erg hard aan het groeien. Dit jaar wordt onder andere uitgebreid naar Maleisië en India.

Outlook

Alibaba verhoogde zijn omzetverwachting voor het volledige jaar met naar 53 procent, waar eerder van een groei van 49 procent werd uitgegaan.

De in Amerika genoteerde aandelen van Alibaba stegen met 3,6 procent.

Door: ABM Financial News.

info@abmfn.nl

Redactie: +31(0)20 26 28 999

Copyright ABM Financial News. All rights reserved

(END) Dow Jones Newswires
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Billionaires keep bubbling up as China property market soars

Bloomberg reported that nowhere on Earth is wealth being created faster than in China’s mainland property market. The collective net worth of the country’s richest developers has rocketed since the start of the year, adding USD 44.3 billion to the fortunes of seven real estate tycoons. As China’s regulators move to tame a frenzied property market, investors are betting that the largest companies will squeeze out smaller competitors and extend their dominance in a consolidating industry.

Alan Jin, property analyst at Mizuho Securities Asia said by phone "It’s like a self-reinforcing theme - the more property stocks rally, the more buyers are confident on the consolidation theme that’s benefiting the largest players."

Lee Wee Liat, a Hong Kong-based analyst at BNP Paribas SA, said that overseas funds are also improving the appeal of some long-dismissed companies that pay record-high dividends. "The story becomes very compelling," Lee said.

Investors are betting those large developers - many of whom maintain cross investments or have a history of trading assets - will continue to wrest market share from smaller businesses.

Hui Ka Yan’s Hong Kong-listed China Evergrande Group, the country’s largest developer, has risen 534 percent this year and reported that its revenue more than doubled through June. Sun’s Sunac China Holdings Ltd, a residential and commercial developer based in Tianjin, increased revenue 25.9 percent and is up 501 percent. China Evergrande Chairman Hui Ka Yan and Sunac’s Sun Hongbin have collected the vast majority of the year’s gains, adding $42.5 billion between them.

Kaisa Group Holdings, which operates in more than 50 cities, has risen 222 percent, after rebounding from a corruption controversy that threatened to bankrupt the business and halted trading of its shares from April 2015 until this March.

The rise has added $648 million to the fortune of Chairman Kwok Ying Shing, 52, who owns 24 percent of the company and has a net worth of $948 million, according to the Bloomberg Billionaires Index. Kwok also owns 8 percent of watch retailer Hengdeli Holdings and electronic components maker Mega Medical Technology respectively. His brother, Kwok Ying Chi, a former director of the company, has a 14 percent stake valued at $756 million.

A UBS Wealth Management report released this month said it expects 20 percent earnings growth for large listed developers in next 12-18 months. Still, the rally has begun to show some signs of weakness as China’s leaders have pledged to snuff out asset bubbles, with President Xi Jinping renewing a call earlier this month that homes are for living in and “not for speculation.”

Source : Bloomberg
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China natural gas supply enough for coal-to-gas switch

An official with the Ministry of Environmental Protection told reporters that China has enough natural gas to meet rising demand from its planned switch from coal to gas power. The ministry is also in talks with the National Development and Reform Commission to ensure stable gas prices, said Mr Liu Youbin, a spokesman for the ministry.

China is getting rid of industrial coal-fired boilers and replacing coal-fired heating with natural gas or electricity in millions of homes this winter, part of its campaign to improve air quality in smog-prone northern cities.

Source : Reuters
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Chinese dienstensector groeit harder

Inkoopmanagersindex in oktober naar 51,2.

(ABM FN-Dow Jones) De bedrijvigheid in de Chinese dienstensector is in oktober in een hoger tempo gegroeid. Dit bleek vrijdag uit cijfers van Markit Economics en Caixin.

De inkoopmanagersindex voor de dienstensector steeg van 50,6 in september naar 51,2 in oktober.

Eerder deze week bleek de inkoopmanagersindex voor de Chinese industrie in oktober met 51,0 gelijk aan de meting in september.

Daarmee kwam de samengestelde index in oktober uit op 51,0, een daling ten opzichte van de 51,4 een maand eerder. Dit betekende de zwakste groei gemeten sinds juni 2016.

"Een relatief zwakke start van het vierde kwartaal", zo oordeelde econoom Zhengsheng Zhong van CEBM.

Een indexstand van meer dan 50 geeft aan dat er sprake is van groei, terwijl een cijfer beneden de 50 wijst op krimp.

Door: ABM Financial News.

info@abmfn.nl

Redactie: +31(0)20 26 28 999

Copyright ABM Financial News. All rights reserved

(END) Dow Jones Newswires
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China 2018 copper demand to rise 3.6pct - Antaike

China State-run metals consultancy Beijing Antaike reported that China's national refined copper demand is forecast to hit 11.15 million tonne in 2018, up 3.6% from an estimated 10.76 million tonne this year. The agency said that despite an expected slowdown in China's copper demand growth in the 2017-20 period with average annual demand growth of around 3 to 5% compared with double-digit growth rates seen in the past decade China will remain the world's key copper demand driver in the next few years.

The domestic power sector will continue to be the largest copper consumer in China, due to power network upgrades and rural power network renovation, Antaike said in its copper sector report, released late Tuesday.

Antaike said that future demand will also come from investment in clean energy, as well as new energy vehicles. The agency forecasts China's national refined copper output at 8.6 million tonne next year, up 5.5% from an estimated 8.15 million tonne this year.

Antaike said that China's refined copper imports will total 3 million tonne in 2018, down 3.2% from an estimated 3.1 million tonne this year. It expects China to export 400,000 tonne of refined copper next year, up 14% from an estimated 350,000 tonne this year.

Source : Platts
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Hebei province exceeds steel capacity cut targets for year

Reuters reported that China’s top steel producing region Hebei province has surpassed its cutting targets for this year in steel, coal, cement and glass, under efforts to cut air pollution and overcapacity. Hebei, which lies close to Beijing, has cut 25.55 million tonnes of steelmaking capacity and 20.66 million tonnes of ironmaking capacity so far this year, Xinhua reported, citing a local government meeting.

The local government has also cut coal capacity by 10.5 million tonnes and coke capacity by 8.08 million tonnes, during the same period, state media reported.

China’s air pollution is typically most severe in winter as domestic heating systems churn out pollutants. Controlling the problem has become a political priority and Hebei said it would hold officials accountable if the region failed to meet targets.

To further curb pollution during winter, Hebei would also limit steel and iron output by 50 percent in major producing cities including Tangshan, Handan and Shijiazhuang, Xinhua said.

Concentrations of hazardous pollutants, known as PM2.5, in Hebei province, were down 38.5 percent in the first 10 months of 2017 compared with the same period in 2013, Xinhua reported.

Source : Reuters
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China high end steel manufacturer goes green after being in red

ECNS reported that a state of the art steel mill in Zhanjiang has helped transform the industry in China after switching to high-end production. Six years ago, one of the major players in the sector, Baosteel, rolled out the Zhanjiang Baosteel project, a long-term plan to boost profits. It was designed to cope with rising demand for high-quality steel in South China and emerging markets in the Belt and Road economies. The decision was in line with the government's plans to reduce overcapacity in the industry amid supply-side reforms. As part of the strategy, Baosteel cut production by about 20 million metric tonnes at its Shanghai and Guangdong mills. The company then built a new 12.58-square-kilometer plant in Zhanjiang, which started production last year.

Mr Sheng Genghong, vice-president of Baosteel and head of the Zhanjiang project said that "Zhanjiang Baosteel is positioned to become the world's most efficient green production base for carbon steel. The switch to producing high-quality carbon steel instead of crude steel is starting to pay off. Carbon steel output for the automobile industry reached 800,000 tonnes in the first six months of this year as domestic demand soared, particularly for new energy vehicles or NEVs. They require thinner and stronger materials.”

By moving into the high-end marketplace, Zhanjiang Baosteel has tapped into a profitable part of the business. In the first half of 2017, it bounced back into the black after recording a net profit of 1.35 billion yuan (USD 203 million), the company revealed.

Last year, the steelmaker went into the red after making a loss of 700 million yuan, according to the annual report.

Source : ECNS
handyman6
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En dan slaat de baas van de Centr.Bank in China alarm : er is nu te veel geleend,schulden,bbbels,ala Japan eind 80-ger jaren.
Wat gebeurde er toen daarro? Men begon elkanders schulden opte eisen ,zodat iedereen voor een appel en een ei ,bezit,aandelen etc.,moest verkopen,om aftelossen.Gevolg: 30 jaar stagnatie.
Als die Tsunamie losbarst......
GrH6
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