Toekomstbeeld schreef op 11 mei 2017 16:58:
Heb het gevoel dat er ook veel goed nieuws is maar dat onze Geert van Poelvoorde (AM Europa CEO) hoogst persoonlijk met zijn uitspraken de stijging van vanmorgen om zeep heeft gehaald.
Steel Prices Rebound as China Announces New Crackdown on Emissions
By Leia Toovey -May 11, 2017 - 14:52 BST
Shanghai steel futures turned higher this week, snapping their recent losing streak on the hope that China’s latest moves to improve air quality will result in lower steel output.
This week, China’s leading steel-producing city Tangshan launched a fresh campaign to improve air quality. Under this campaign, which runs from May 9 to 31, steel mills that fail to meet emission standards will face suspensions and fines. China has already pledged to crackdown on polluting industries this year, but the country wasn’t expected to make any significant moves until the second part of the year. Generally, in China, pollution peaks in the winter when the country fires up electricity generation to power heaters.
China’s latest moves encouraged traders and analysts: “The fresh curbs will help rein in steel production and rebalance the steel market, helping stabilize steel prices and speed up inventory drawdown,” Argonaut Securities analyst Helen Lau said in a note. But, the timing may be too convenient. The One Belt One Road summit will take place in Beijing on May 14-15, and the country may be moving to clear the skies for the event.
Steel prices moved higher in 2016 amid China’s moves to cut excess steel capacity. The country cut 65 million tons of capacity in 2016 and aims to cut another 50 million tons this year. But, lower steel capacity will not necessarily translate to lower production, the head of the European Union steel body Eurofer told Reuters. “I think the Chinese government has a genuine goal of reducing capacity because they subsidize it, it’s costing them lots of money … but cutting capacity doesn’t mean you cut production,” Eurofer president Geert Van Poelvoorde said. “There will be in the next quarters more overproduction in China,” he added.