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The world's largest-ever, the fastest growing industrialized monster, ruthlessly foot crushed Australia's largest steel company, BlueScope (the BlueScope). The really surprising thing, that is, BlueScope actually been to hang on until now. However, the rise does not stop the Australian dollar exchange rate, and finally became overwhelmed by BlueScope's the last straw.
Monday at the media conference, announced the closure of two production plants, and the abolition of thousand workers BlueScope executive director the Ouma Li (Paul O'Malley) eyes moist, feelings of resentment of Chinese state-owned steel manufacturer to resort to unspeakable . Ouma Li said that Chinese state-owned steel enterprises in Australia less than the cost price of production "dumping product is not in doubt. While he said BlueScope "not aggressive in developing countries cunning trade trick a victim", but he still strongly urge the Australian government to protect local manufacturing.
He hoped that the states and the federal government to finalize a new agreement designed to improve productivity and reduce bureaucratic obstacles imposed on businesses. "We have day-to-day to compete with the steel prices to these cumulative cost" Ouma Li said, "the resources boom will end one day, that we can the rest of what? Therefore, we must at all to circumvent the economic loss. "
"The transformation of iron and steel has been manufactured products from developed countries has become the manufactured products of developing countries. I will never say that we are victims of what a. In developing countries, iron and steel manufacturing industry is regarded as one of the state-owned industries part in a place like China, the steel enterprises to obtain capital comparable to Australia more free. "
China's steel enterprises exist to make the BlueScope both sides of the pressure. China's steel manufacturing, coal, especially the voracious appetite of the iron ore BlueScope two key production input costs will soar; At the same time, a large number of relatively inexpensive Chinese steel yield, such as a flood drowned the world market, the steel price remains at very low levels. The phenomenon of soaring production costs, selling is not worth, the BlueScope called the spread of "steel (steel spread)" the relentlessly squeezed corporate profits.
As of June 30, BlueScope net loss of 1.054 billion yuan, the message a company's share price plummeted 5.7 percent, fell to the lowest level of unprecedented 74.5c.
China, of course, makes every one of the world's iron and steel manufacturers are facing cost pressures, even if the Australian dollar is not so high, BlueScope will find it difficult with China and other low-cost Asian steel mills competition. Not to mention Australian dollar is even more valuable than the dollar, BlueScope steel exports to sustain the inevitable result. BlueScope or substantial reduction of foreign exchange price of the product, either to reduce exports, in any case lead to the decisions announced on Monday.
Ouma Li admitted that BlueScope considered a fundamental restructuring of the company completely abandoned steel manufacturing business, in order to meet the reality of the Australian demand for steel fell. These measures may include complete shutdown of all BlueScope's manufacturing plant, and to seek joint ventures with foreign companies. But ultimately, the decision-makers have chosen only to exit the steel export sector, the cost is more than 1,000 workers laid-off.
Another Australian steel prices OneSteel is more clever, or lucky, on the development since the early years of "sideline" - iron ore exports. It is this sideline to make it catch the China Express, OneSteel's steel manufacturing operations in the same miserable squeezed flat.
    In less than a decade, China from producing the world less than 10% of the iron and steel (and the quality is not how good), to occupy the global steel market more than 40% (mostly steel). In fact, both China and what to produce, product sales and the place always caused by condemning, there are always people to pay the necessary price. STONE COATED STEEL ROOF