China Iron and Steel Association recently released a report, with the gradual recovery in the global economy is expected to domestic and international steel market in 2010 will be better than the previous year. The report notes that in 2010, China's economic recovery continued to consolidate, iron and steel demand will continue to grow.

Report analysis, first of all, the world's major economies, slow recovery of the economy, the market demand for steel will show growth. China Steel Association, said the world economy started to recover and stabilize the international financial markets, global trade and investment, showed growth to resume this year, the overall situation will be better than last year. However, the basis of the recovery is still relatively weak, the financial impact of the crisis will continue, the major economies slow growth and stagnant consumption, trade friction and low capacity utilization problem is still not significantly improved.

According to the latest report released by the United Nations is currently an active fiscal policy, if sustained, the world economy in 2010 will achieve 2.4% growth. The IMF forecast is more optimistic and expects the world economy in 2010 can be realized a 3.1% growth in developed economies, growth was 1.3%, of which the U.S. economy grew by 1.5%, while emerging and developing economies, growth is expected to reach 5.1 %.

Second, China's economic recovery continued to consolidate, iron and steel demand will continue to grow. Report points out that, in addition to continuing to implement the proactive fiscal policy and loose monetary policy appropriately, the central government also proposed this year will actively promote urbanization and coordinated regional economic development, which will contribute to infrastructure brought about by investment growth. Above-mentioned policies, measures and the rigidity of demand for downstream industries in 2010 the sustained and healthy development of steel industry provides a good policy support and market environment.

The report said that in 2010 the international market of crude oil, iron ore, coke, steel scrap, ocean freight and domestic markets, Tie Jingfen, metallurgical coke, steam coal and other resources, and energy products the emerging trend of prices. In addition, the state of coal, electricity, oil, transportation and other countries products upward price adjustment will push up the cost of steel products, steel prices on the formation of strong support.