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Steel Industry Concerned Over Pricing
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The China Iron and Steel Association (CISA) criticized on Monday the world's leading iron ore supplier for its announcement on pricing while international negotiations were on going.

A spokesman for supplier CVRD of Brazil announced on March 29 that it was to raise its 2006 iron ore price by 24 percent over that of last year.

The CISA regards the move as being, "extremely ill-considered and in violation of the rules of the international iron ore price negotiations."

An official with the CISA, who refused to give his name, told Xinhua that the iron ore price proposed by CVRD was "unacceptable."

He said following the international rules of price negotiation, information should only be released to the media after at least one ore provider had come to a pricing agreement with a plant.

CVRD's public announcement was totally against the accepted international way of doing business, said the official.

As of March 15, China's 18 main ports had 38.9 million tons of imported iron ore in store and the major steel corporations held more than 25 million tons.

(Xinhua News Agency April 4, 2006)

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