The demand for iron ore resources will remain stable

The 5th International Summit Forum on Mineral Resources hosted by China Mineral Resources Group was held in Shanghai recently. China Mineral and Rio Tinto, Vale, BHP Billiton and other international mining enterprises jointly build a long-term stable, harmonious and efficient industrial chain supply chain, promote green and low-carbon applications of iron and steel metallurgy raw materials and sustainable development of the industry, and strengthen cooperation in investment and development of mineral resources, We reached consensus on strengthening strategic cooperation in meeting the demand for high-quality raw materials in the iron and steel industry, and signed and exchanged relevant cooperation texts.
In view of the current industry environment faced by the mineral resources industry, Yao Lin, Chairman of China Mineral Resources Group, said that for some time, the global hot topics were "uncertainty" and "supply chain resilience". Almost all fields, especially industries and enterprises facing the global market, were deeply affected.
Globally, the current international political and economic order and governance pattern are undergoing profound adjustment. The COVID-19 is still continuing. The global industrial chain supply chain has been impacted, and the volatility of the international bulk commodity market has intensified, posing a huge challenge to the security and stability of resource supply. From China's perspective, the sustained and healthy development of China's economy will continue to provide strong support for the stability of the world economy, thus providing an important anchor and source of growth for the demand for resource products and the sustainable development of the industry. From the perspective of industry development, on the one hand, the world economic growth is sluggish, and China's economic structure and growth momentum are changing, which will curb the demand for some mineral resources such as iron ore; On the other hand, the world economy, especially China's economy, has accelerated its greening and intellectualization, which also provides new development space and opportunities for the resource industry.
At present, the operation environment of China's steel industry is relatively severe, and the overall benefit is at a low level in recent years, facing many difficulties. Luo Tiejun, Vice President of China Iron and Steel Industry Association, said that at present, the whole industry has a more realistic and sober understanding of the long-term and inevitable changes in the market environment in which China's iron and steel industry is located. The atmosphere and consensus of self-discipline and production restriction are being established, the adaptability to the new market environment is also being enhanced, and the operating efficiency has been stabilized and improved.
"Later, as market demand stabilized and improved, the quality and level of industry supply continued to improve. It is expected that the main indicators of the steel industry will change positively, showing a better month on month trend." Luo Tiejun said that the development of China and the global economy needs the support of the steel industry, as well as the protection of iron ore resources. At present, although the downstream demand is weakened, the cost of raw materials and fuels is high, and the demand for steel production and iron ore is under pressure in the short term, in the long term, the demand for steel will remain stable within a certain range, and the demand for iron ore resources will also remain stable.
"The development of China's mineral resources needs industrial ecological harmony. Focusing on the upstream and downstream development needs, we should focus on the pain points of the mineral resources supply chain, build a cooperative relationship of sharing risks, benefits and long-term stability in all aspects of resource mining, trade, storage and transportation, and processing and manufacturing, and achieve sustainable growth through fluctuations in the growth cycle." Yao Lin said that the development and utilization of resources should also maintain harmony with the ecological environment, Follow and lead the trend of green and low-carbon development, promote the construction of green mines, explore the establishment of a mineral resources carbon footprint tracking and carbon label management mechanism, and achieve sustainable resource development and utilization. "China Mineral Resources Group is willing to work with all parties to promote the industry ecology towards a more open, inclusive, inclusive, balanced and win-win direction," said Yao Lin.