Short news metals
May 8, 2014 Category Automotive Metals & Minerals, Short news metals
- Chinese firms could have locked up as much as 1,000 tons of gold in financing deals, an industry report said, indicating a big slice of imports has been used to raise funds due to tight credit conditions, rather than to meet consumer demand. The financing-related buying means gold prices could come under pressure if imports were hit by a broader government crackdown on using commodities to raise finance. The country had up to USD160 billion of outstanding loans using commodities as collateral, about 31% of its short-term foreign exchange loans, said Goldman Sachs.
- Tangshan Iron and Steel Group Co (Tangsteel) signed a strategic cooperation framework agreement with Siemens on energy-saving and environmental protection cooperation. Wang Lanyu, President of Tangsteel, told China Daily that the company plans to increase its non-steel business from its current 20% of the whole business structure to 50% within five years. Using Siemens’ technology, Tangsteel will manufacture energy-saving and carbon-emission reduction equipment for steel mills. Tangsteel has an annual output of approximately 20 million metric tons.
- General Nice Development, China’s largest privately-owned steel-smelting raw materials trader, has failed for the fourth time to meet its commitment to buy shares in iron ore miner IRC and may have to defer completing the deal given tight credit conditions. Jay Hambro, Chairman of Hong Kong-listed IRC, an iron ore miner in Russia’s Far East serving northeast China, said General Nice has already completed 72% of the payment and is “fully committed” to completing the remaining HKD451.4 million share purchase.
- Chinalco Mining, the non-ferrous and non-aluminum metals unit of Chinalco, is seeking acquisition opportunities in Latin America for copper projects with long-term return rates of more than 10%. Chief Executive Peng Huaisheng said the region presented more development potential, especially Peru, where the company has been developing the Toromocho copper project since 2007. China imports about 70% of its raw copper ore needs.
- Hong Kong’s Chinese Gold and Silver Exchange Society will start talks in the next two months with the Shanghai Gold Exchange for a potential alliance, President Haywood Cheung said. It would allow China’s gold bourse to access the international market through Hong Kong.
- Baosteel Group Corp President He Wenbo said at a shareholders meeting that Baosteel will focus on its major steel business and accelerate its e-commerce and information technology units. The company was awarded the first online payment license for a company in China’s industrial sector and entered the steel e-commerce business earlier than others. Easterpay had total online payments of CNY5 billion in the first quarter, up 360% year-on-year.
Recent News
- KURT VANDEPUTTE (UMICORE) APPOINTED CHAIRMAN OF THE BOARD OF THE FLANDERS-CHINA CHAMBER OF COMMERCE (FCCC)
- Webinar: “Knowing Your Chinese Partner” – May 26, 2021, 10 am – 12 am
- EMA starts rolling review of CoronaVac, WHO approves Sinopharm vaccine for emergency use
- The Global Times warns not to politicize the Comprehensive Agreement on Investment (CAI)
- Hainan to become biggest duty-free market in the world