Search results: Rio Tinto

Inflection Points In China’s Economic Development

When the economic history of China is written, it will show that, to date, there have been three major inflection points in the country’s economic development — events that have triggered major changes in the direction of the country. First, of course, was the opening of China to the outside world under Deng Xiaoping in […]

Buy Baby Buy!

Buy Baby Buy!

Last Tuesday, the 18-month saga of BHP’s battle for Rio Tinto ended. BHP withdrew its bid for the rival mining company, explaining that the recent fall in commodity prices and a worsening world economy had made the $68 billion deal too risky to complete. The proposed exchange of 3.4 shares of BHP for each share […]

Inflation Update: Baosteel Agrees To a 65% Price Increase for Iron Ore

In 1962, a young John F. Kennedy, the newly elected President of the United States, took on “Big Steel” when the U.S. steelmakers, led by U.S. Steel, had the audacity to raise steel prices by $6 per ton, an action that constituted in Kennedy’s words “a wholly unjustifiable and irresponsible defiance of the public interest.” […]

China’s Fragmented Steel Industry

China’s Fragmented Steel Industry

Due to the decentralized nature of China’s economy and government, every industry in China is very fragmented. As soon as demand for a particular product begins to grow, development oriented government officials in every village, county and municipality across the country encourage the banks and entrepreneurs in their area to set up a new plant. […]