BHP sees long-term benefits for high-grade iron ore, coal suppliers amid China’s steel industry reforms

BHP expects suppliers of high-quality steelmaking raw materials to benefit from the lift in Chinese steel utilisation rates and margins following China’s supply side reforms.

“We estimate about two-thirds of the lift in Chinese steel making utilization rates and margins since the introduction of supply side reform will be sustained in the long run,” chief commercial officer Arnoud Balhuizen said in a blog on Monday May 7. Balhuizen noted that a long-run utilization rate in the vicinity of 80% would be consistent with healthy industry...

Published

Deepali Sharma

May 08, 2018

05:20 GMT

Singapore