WCA May 2007

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Industry News
10 Wire & Cable ASIA – May/June 2007
China will account for almost a third of
the total world production of steel in
2007, and consume nearly all of its
additional output, according to a
special report included in the Global
Sectors Outlook (December 2006) from
Euler Hermes, the world’s largest credit
insurance group and part of Allianz.
Chinese output should increase by
10% in 2007 – three times more than
its nearest rival, Japan. Main end-
user markets for Chinese steel
include construction (55%), capital
goods (12%), automobiles (5%) and
household appliances (2%).
Even with its increased capacity,
China will need to import steel in order
to keep up with demand.
Brazil, Russia and India, who together
with China make up the BRIC alliance,
will also increase steel production in
2007, assisted by modernisation of
production apparatus, cheap labour,
and access to natural resources
including iron ore, essential to the good
running of blast furnaces for cast iron,
for which they account for 65% of
world production.
“The exponential growth in steel prices
has not resulted from a traditional
imbalance between demand and
supply, but rather from the explosion in
upstream raw material prices such as
those for iron ore and scrap,” explained
Mr Philippe Brossard, head of research
for Euler Hermes SFAC.
“China’s voracious appetite for
commodities helped to tighten the
market: on its own the country will this
year account for more than 40% of
world iron ore imports, mainly from
Brazil and Australia.
“Even so, a lull in steel prices seems
likely in 2007, with prices slowing from
the second half of 2007 in line with the
slowing of the world economy.”
Steel sector forecasts are founded
upon the microeconomic expertise of
Euler Hermes group underwriters and
analysts, who closely monitor risk in
companies worldwide through its
network of 30 local subsidiaries.
Euler Hermes SFAC – France
Fax: +33 140 705 017
Website :
Steel output in China set to rise by 17% in 2007
Guilin Wintime Testing
Machine Co Ltd, China, is
an expert in load testing,
with nearly 15 years’
experience of manu-
facturing spring testing
machines, torsion testing
machines and universal
testing machines.
The company recently
developed the TCD-C
computer controlled
spring testing machine,
for testing railway springs
with maximum load
capacity of 600kN, to
meet the requirements
of updated national
standards of suspension
spring testing, according
to the European
standard.
Guilin Wintime Testing
Machine Co Ltd – China
Fax: +86 773 5811 057
Email: Website :
New machine for testing railway springs
The new TCD-C spring testing machine from Guilin
Wintime Testing Machine Co Ltd
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