Earthquake in Japan have limited impact on the Australian mining industry

RSS Author RSS     Views:N/A
Bookmark and Share          Republish
Concerned about the Japanese earthquake on the impact of coal production industry .Therefore, the future state will be gradually introduced more stringent control measures. After the two sessions, most likely the introduction of interest rate policy. This will be the prices of steel, fell near the fuse. In summary, strict control of inflation in our environment, the earthquake will cause Japan to accelerate China's steel prices bottom, prices will become more reasonable. The author believes that the next period of time, there will be this year's steel billet market the lowest price; late demand and domestic demand as the Japanese launch, steel prices are expected to rebound.
Concerned about the Japanese earthquake on the impact of coal production industry: Japan is the world's coal crusher machine and its core components is an important producer, we believe that after the earthquake in Japan on the domestic impact of mining equipment may include: 1) high-end parts of the domestic manufacturers constraints; 2) damage to Japanese companies on the global supply of crusher; 3) the reconstruction of Japan's construction machinery demand driven; present, the domestic manufacturers of basic spare parts inventory of 2 months or so, not short-term impact, but if Japan related companies badly damaged, it may restrict the release of the domestic production capacity of the coal mill ; Japanese construction machinery enterprises (in Komatsu example) has been basically completed its global production capacity, the local production of its full capacity only 40% of total global market 4%, so after the earthquake effects on the global supply of small construction machinery; in accordance with the 2009 global construction machinery sales statistics, sales of construction machinery in Japan accounted for 4% of the global ratio of small-scale, post-disaster reconstruction of Japan on the domestic construction machinery enterprises stimulating effect is limited.

Caiman Don analyst, said the two mining giants are to provide iron ore to Nippon Steel, the short term the price of coal stone large number of factories will be shut down because of Japan's production capacity to withstand pressure. But the medium term, with the reconstruction efforts on track, Japan's coal crusher demand will grow.
Capital research firm Standard & Poor's analyst, said: "Taking into account the impact of reconstruction, we expect raw material and coal worldwide will benefit from the energy industry, Japan is likely to require a lot of broken machines and Antimony mining crusher ." TD Securities analysts expect Japanese earthquake on the impact of Australia's mining sector is limited. As Japan is the three mines in Asia outside of China's largest long association households, so Antimony crushing plant shutdown is likely to lead to future mining flow into China, thus making ore prices down. On March 11 the same day, the price of iron ore swaps would have emerged free fall, in April the day of the main contract fell 7%.

Point of view from the current economic situation, governance, steel prices will curb inflation or rising too fast. At this stage, Europe and the United States is out of the financial crisis to tighten policy, and its loose monetary policy is likely to lead to imported inflation in China appears swell. And Premier Wen also stressed that this government regulation will curb inflation in the first place.

Report this article

Bookmark and Share

Ask a Question about this Article