Chinese Special Steel Price Will be Free from Great Fluctuation

Resource from: cbcc-yinx Likes:2977

Feb 06,2006

According to analyst, price of special steels, like bearing steel, will be free from the great fluctuation that we have seen in the common steel market in 2006. Following are the main reasons: 1. Comparing with the over-rapid growth rate of common steel capacity, special steel have increased at a reasonable speed in these years; Even if there are surplus of some lower value added special steel products, the case is not as terrible as that occured in common steel industry; fewer profiteers are interested in the special steel industry. 2. Given the higher technological requirements, small and middle sized enterprises are not willing to risk entering the special steel industry. 3. Restructuring and reorganization among the special steel enterprises provide a higher industrial concentration that avoid the redundant construction projects and lead to high efficiency.

(cbcc-yinx)

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