Tag Archives: China

New Chinese rare earth quotas for 2012 and consequences

An article in the Wall Street Journal (Dec 28, 2011) describes China’s announcement of separate rare earth metals export quotas for 2012 – light rare earths (used in magnets) will have quotas separate from heavy rare earths (used in high … Continue reading

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Yuan currency swaps and trade with Pakistan, Thailand and Argentina

An article in the Sourcing Journal (Dec 28, 2011 news@sourcingjournalonline.com) describes a decision by the Chinese govt to permit yuan currency swaps with Pakistan, Thailand and Argentina. For example, 10 billion yuan were exchanged for 140 billion Pakistan rupees. Thus … Continue reading

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Rising US steel prices, global demand trends and supply chain impact

An article in the Wall Street Journal (Dec 24, 2011) describes a 25 % rise in steel prices due to increased US demand from automakers and steel pipe demand for natural gas extraction. But as demand in China decreases, and … Continue reading

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How many domestic automakers does China need ?

An article in Bloombergbusinessweek (Dec 19, 2011) describes China’s auto sector has having 70 automakers with 55 of them accounting for 11 % of sales.  Foreign automakers account for 58% of sales.  The Chinese government plans to further concentrate the … Continue reading

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The “Save our Industries Act” Poplin agreement Involving the US and Philliphines

A report on the “Save our Industries Act” (http://www.mb.com.ph/articles/342819/shorter-garment-export-categories-okayed) describes the potential agreement between the US and Philippines under which poplin cloth, exported from US producers to the Philippines for garment manufacturing, would be granted zero duties when exported back … Continue reading

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Walmart’s environmental efforts in China and US retail impact

An article in the Atlantic (December 2011) suggests that 70 % of Walmart’s $420 billion in sales are provided by 20,000 Chinese suppliers. Walmart’s efforts at decreasing waste, pollution etc thus impact its supply chain in China significantly, and increase … Continue reading

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Rare earth price surge and global supply chain response

An article in Fortune (Nov 7, 2011) describes the impact of the 1500 % price increase for rare earth metals from 2009 to 2010, the result of a 50 % cut in Chinese exports of rare earth metals.  With China … Continue reading

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Crashing rare earth prices and impact

An article in the New York Times (Nov 15,2011) describes the 67% drop in prices for several rare earths including neodymium, cerium etc.  The rapid price increase in recent years was caused by China, which produces 97% of the world’s … Continue reading

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Global steel demand and Arcelormittal’s capacity adjustment

An article in bloombergbusinessweek (nov 14, 2011) describes the impact of the doubling of steel capacity in china from 2005 to 2010, the consequent global exports at cut rate prices of supply in excess of chinese demand, and its impact. … Continue reading

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Chinese oversight of US sources of apple juice in the global supply chain

An article in the wall street journal (Nov 4,2011) states that 72 % of US apple juice is sourced from China, and is part of over $3.2 billion in food imports. But concerns about food quality has caused the US … Continue reading

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