Iron and steel, the typical process industry, production, and long process, before and after the interaction of supply and demand, the production process is very complicated, variety, large consumption of materials required. December 10, in 2016 (fifth session) China Steel raw materials market high-end Forum Shang, China Steel industrial association Deputy President, and metallurgical industry Planning Institute Dean Li Xinchuang pointed out that, with China Steel industrial into by "incremental, and spread can" to "reduction volume, and adjustment" development stage, from long cycle angle see, China iron ore needs are in down channel of transition stage, but imports mine has is and will long-term is China Steel industrial most important of strategy guarantees, domestic mine only as imports mine of effective added, To the underlying regulatory role. Therefore, China's iron ore resource and development strategies should be "development of generation, reserve generation, exploration and generation", so as to safeguard the continuation of iron ore resources.

Serious oversupply of iron ore in the world

Vice Chairman of China iron and steel Association, the metallurgical industry planning and Research Institute President Li Xinchuang pointed out that currently, the world's major producers of iron ore for Australia, and Brazil, and India and South Africa, in the short term, Vale, Rio Tinto and BHP Billiton, FMG and other four mines iron ore production advantage will still dominate. And, with the continued implementation of the four major mine expansion plan, capacity continues to release many high-cost iron ore capacity is difficult to exit the market, the global supply of iron ore will remain surplus State. The future trend of volatility of global iron ore demand has slowed, but remains at a high, and China's steel demand will gradually decrease, iron ore demand will also fall sharply.

Metallurgical mines Association of China Executive Vice Chairman and Secretary-General introduced Repin, 2016, the growth has slowed China's iron-ore market supply, high grade ore stage supply tight, but supply has not fundamentally changed, industry has the following features: first, advanced capacity to be effective. Ideally, awareness and action on iron ore enterprises to adapt to market changes, actively promote the production line, process, business optimization, some of the heavy losses the production line shut down, backward production capacity gradually quit. In January-October, shut out of 782 enterprises, enterprises account for one-third. Second, quality has a new promotion. Iron ore companies continued to promote management innovation, strengthen the management of Northern, precision tap, push for reducing cost and increasing efficiency. In January-October, the nationwide cost of these companies main business revenue fell 9.4%. Third, business activity further enhanced. Iron ore enterprises to continuously strengthen internal integration and optimal allocation of resources, reducing inefficient business resource consumption, factors of improving efficiency and productivity. In January-October, the national 8.8% labour efficiency in enterprises above designated size. Four is the transformation and upgrading of structure optimization and steadily. Iron ore to improve scientific and technical innovation ability of enterprises, and actively implement the substitutions of substitution of mechanization, automation, promote the upgrading of technology and equipment. In January-October, the metallurgical mines Association of China key statistical enterprises realize the technology creators 1.768 billion yuan.