December 03, 2008

Fujian based steelmaker’s profits drop

It is reported that the profit of steel mills in Fujian province are facing great pressures as their profit will drop by at least 20% resulting from 65% iron ore price hike.

It is learned that the proved iron ore reserves in Fujian province is around 600 million tonnes but the annual mining capacity is only about 3 million tons while annual iron ore demand was over 10 million tonnes. It is predicted that iron ore demand in Fujiang would reach to 24 million tonnes till the year of 2010.