Archive for March, 2009
If you wouldn’t buy a used car from Nixon, will you buy a new car from Obama?
Okay…I think we’ve seen enough. Our government is out of control! We pass a stimulus package too big for anybody to read before signing. THEN we find out what problems are in it and how much pork. Did you know the federal department of education has doubled in size thanks to the stimulus package? Didn’t [...]
Will India lead the way out of the recession?
SAIL, Tata Steel Expect India Steel Demand to Rise NEW DELHI — Steel Authority of India Ltd. and Tata Steel Ltd. said Thursday steel sales will likely climb in the quarter through March on a rise in demand from key sectors, including automobiles and construction. “Sales in March are going to be higher than March [...]
Where are we now?
As the first quarter of 2009 comes to an end, what signals do we see to help us predict the future? 1. Some industries are starting to see inquiries for projects funded by the government. There are more inquiries for steel beams, wire mesh and construction products. I expect there will be increased inquiries and [...]
Ship-breaking booms in the economic bust
ALANG, India: A global economic slowdown has hit industries ranging from automakers to investment banks, but in one small town on the western coast of India, business is at record levels and workers can hardly keep up with demand. In Alang on the coast of Gujarat State, home to the world’s largest ship-breaking facility, the [...]
BHP Billiton Drops Coal Prices for New Contracts
TOKYO — Japanese steelmakers and BHP Billiton have agreed to an almost 60% reduction in the price of coal for the next contract year beginning in April, people familiar with the situation said. Nippon Steel Corp., Asia’s largest steelmaker by output, and BHP’s joint venture with Mitsubishi Corp. have agreed to pay $128 to $129 [...]
Stimulus Dilemma for China
Spending on Public Works Risks Making Production Glut Worse BEIJING — The Chinese government’s massive investment in the economy could end up increasing excess capacity in industries from steel to petrochemicals, some executives and economists say. Given China’s global manufacturing heft, more idle factories could heighten competitive pressure world-wide, sparking trade squabbles as Chinese factories [...]
China pushing consolidation of car and steel makers
China will concentrate more power in the hands of fewer auto and steel companies, the government has said in unveiling its most concrete plans yet for reform of the two industries. The State Council, or cabinet, said it would push five steel makers and two or three car companies to take dominant positions in their [...]
Steelmakers Jumping the Gun on Stimulus?
Eager to cash in on stimulus packages in China, the U.S. and Europe, some steelmakers are ramping up production. But some are moving too quickly, causing steel prices to drop again after recovering earlier this year. The situation illustrates the dilemma for industries that need to fill the pipeline with construction-critical products but are uncertain [...]
Tax Cut Spurs 25% Jump in Chinese Auto Sales
Double-Digit Growth Unlikely to Return Until Year-End BEIJING — Auto sales in China surged 25% last month from a year earlier to 827,600 vehicles as a tax cut for small cars helped end three months of declines. The purchase tax on vehicles with 1.6-liter engines and smaller was cut in half in late January to [...]
Dawning of a New Iron (Ore) Age
Iron ore is a dirty business — literally. The main ingredient in steelmaking, it is basically mineral-rich dirt dug out of the ground and shipped to foundries. Now the proposed investment by state-owned Aluminum Corp. of China (Chinalco) in Rio Tinto Group has raised fears this business will get a whole lot murkier. Chinese companies [...]
