As soon as we entered 2010, we were plagued by a deadlock in iron ore negotiations. The China Iron and Steel Association has worked hard, but after all, it can't get rid of the stagnation of the price surge. From long-term agreement prices to quarterly pricing, to possible future index pricing, the changes in the iron ore mechanism are leaping forward in the “calls†and “remediation†of the China Steel Association.
Negotiation is about strength, will, and skill. On strength, we have enough purchasing power, but China's iron ore negotiations, which are supported by half of the international iron ore market demand, have not played a role in hard currency. Hu Shitai, the former chief representative of Rio Tinto's Shanghai office, is a Chinese who joined the Australian community. He was said to have worked for a well-known Chinese state-owned enterprise before joining the Australian nationality. The network is already wide, and he is consciously The people in the industry have a purposeful and systematic collection of data on major steel companies across the country, and are well aware of domestic steel production and market demand.
Let's talk about the contest of will. Many reports have disclosed that only a few large steel companies in China can obtain the right to import long-term mines, and these big steel enterprises do not lack the will to squeeze the iron ore to squeeze the price difference from domestic counterparts. It will not be greatly discounted.
Iron ore negotiations put a very cruel reality in front of us, that is, big does not mean strong, things stacked up with numbers are not equal to strength.
Li Rongrong, director of the State-owned Assets Supervision and Administration Commission, expressed his feelings in the "2009 China Enterprises Top 500 List and Analysis Report" in September last year: At present, most large enterprises in China lack core competitiveness, and their risk control ability is relatively low, which is a typical speed economy. enterprise.
In contrast to the iron ore negotiations, the long-term negotiation or bargaining mechanism is two extensions, and the negotiation rules are in the hands of others. Preparations before the negotiations are also very full.
The cruelty of iron ore negotiations lies in the fact that we must face the situation that we can only talk according to the rules of the other people without the right to speak; without sufficient market experience and international perspective, we cannot grasp the external environment, and we cannot prevent risks and protect ourselves. There is no good market mechanism and system, and even people are unable to cohesively, and they will not unite with each other. The rules of procedure, market experience, mechanisms, etc. mentioned here are not part of soft power.
Negotiation is about strength, will, and skill. On strength, we have enough purchasing power, but China's iron ore negotiations, which are supported by half of the international iron ore market demand, have not played a role in hard currency. Hu Shitai, the former chief representative of Rio Tinto's Shanghai office, is a Chinese who joined the Australian community. He was said to have worked for a well-known Chinese state-owned enterprise before joining the Australian nationality. The network is already wide, and he is consciously The people in the industry have a purposeful and systematic collection of data on major steel companies across the country, and are well aware of domestic steel production and market demand.
Let's talk about the contest of will. Many reports have disclosed that only a few large steel companies in China can obtain the right to import long-term mines, and these big steel enterprises do not lack the will to squeeze the iron ore to squeeze the price difference from domestic counterparts. It will not be greatly discounted.
Iron ore negotiations put a very cruel reality in front of us, that is, big does not mean strong, things stacked up with numbers are not equal to strength.
Li Rongrong, director of the State-owned Assets Supervision and Administration Commission, expressed his feelings in the "2009 China Enterprises Top 500 List and Analysis Report" in September last year: At present, most large enterprises in China lack core competitiveness, and their risk control ability is relatively low, which is a typical speed economy. enterprise.
In contrast to the iron ore negotiations, the long-term negotiation or bargaining mechanism is two extensions, and the negotiation rules are in the hands of others. Preparations before the negotiations are also very full.
The cruelty of iron ore negotiations lies in the fact that we must face the situation that we can only talk according to the rules of the other people without the right to speak; without sufficient market experience and international perspective, we cannot grasp the external environment, and we cannot prevent risks and protect ourselves. There is no good market mechanism and system, and even people are unable to cohesively, and they will not unite with each other. The rules of procedure, market experience, mechanisms, etc. mentioned here are not part of soft power.
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