Peak Steel looms in China

BEIJING (Scrap Monster): The giant iron ore miners have already gambled 120 billion dollars in the say that, the steel production in china will be slow, until late in the year 2030. But the  declaration by the Chinese president, makes it clear that  all is not well with the iron ore giants. If the calculations are wrong, it could have  a huge impact on the companies, which are being led by BHP Billiton as well as Rio Tinto.

A mining analyst, at Liberum Capital Ltd, Richard Knights, stated that, the miners are the most intelligent kind of people, as all the decisions on the investments are purely based on intelligence, but if they are mistaken slightly in their decision or intelligence in investing, it will have a huge impact on their profit as well as shares for many and many years to come.

It could be said that, iron ore is the worst  performing metal of the year, with no other metal to share the position with. The commodity has already  reached its five year low, and the largest steel maker in the world China, is declining in its production.

The output in China will completely decline in the coming three years, and  the country will have to face plant closures rather than expansions, stated the Chairman of World Steel Association.