BEIJING (Scrap Register): Increasing steel production is seen in the Chinese industry and this poses a threat to the Australia. Australia exported iron ore to china worth $39 billion in 2015, which is several times greater than any other single product sold to any other country, said Li Xinchuang, head of metal industries to The Australian.
The relationship between China and Australia is crucial since China is the biggest producer and consumer of steel in the world, and Australia supplies it with the most iron ore.
China produces about five times more steel annually than the European Union, and about seven times more than Japan, the next biggest national producer. Its output was 779 million tons, 823 million tons, and i804 million tons in 2013, 2014 and 2015 respectively.
Australia produced 5 million ton last year. Most of China’s steel about 55 per cent of total output is consumed by buildings and infrastructure, whose demand is closely linked with investment growth.