2010 The Pricing Power Of China'S International Trading System Is Near Collapse?

Integrating the domestic market, using anti-monopoly law to enhance influence by big market

"In China

"China factor" becomes

Yao Jian pointed out the three ways to solve this dilemma: integrate domestic market; effectively use the anti-monopoly law and WTO rules; take advantage of China's big market position, adopt various financial means, and establish a futures market in China to enhance the influence on prices.

Imported

What China buys will rise in price.

The failure of the iron ore negotiations has once again hurt the "bulk".

"Iron ore negotiations are converted from quarterly pricing to quarterly pricing, and at current prices, China's steel enterprises will have to pay more than $about 70000000000 a year in total volume of imports last year."

Yao Jian calculated such an account at the second international business development forum held yesterday.

Since 2002, the price of imported iron ore has risen from less than 30 US dollars to US $150, while the price of steel has risen from only about 2000 yuan to the present 4400 yuan.

"In the international market, although China accounts for 65% of the iron ore imports, it has no say."

Yao Jian said, in fact, not only imports of iron ore, oil, copper, grain and other bulk commodities also face a similar situation: the contradiction between supply and demand is prominent, the dependence on foreign countries is increasing, overseas acquisitions are facing resistance, and the irrational fluctuations of the market can only be passively adapted.

Entering the twenty-first Century, the international bulk commodity market gradually appeared the phenomenon of "what China buys, what the international market will go up, what China sells and what the international market falls".

Although the import volume of our country is very large, the pricing power in the international trade system has "almost completely collapsed".

"China has become a hot spot in the international commodity futures market, especially in crude oil, metals and agricultural products, and China's demand factor has become an important driving force for the rise of international commodity prices."

Huang Junfei, senior analyst of Yangtze futures, said yesterday in an interview with reporters.

The so-called "China factor" in the world market has also become a hot pursuit of all parties. A Morgan Stanley expert once said: "what China wants to buy, we will rush ahead to buy them."

This is clearly not what Chinese companies would like to see.

Exit

The flow of fat and water and the right to speak

Because of the lack of pricing power, China has to pay more for the "buy" aspect. What is more distressing is that China is also selling "fat water outflow" repeatedly.

Rare earth is the best example.

"Oil in the Middle East and rare earth in China", Deng Xiaoping, chief architect of reform and opening up, pointed out the status of China's rare earth power, but this resource advantage has not been utilized, but it has been sold at a low price.

China has more than 50% of the world's reserves of rare earth resources and occupies 90% of the world's market share, but in 1990 -2005, China's rare earth exports increased by nearly 10 times, while the average price fell to half of that in 1990.

"Trade power is not natural, but gradually achieved through efforts."

An expert from the MOFCOM Research Institute said that Chinese enterprises were used to exporting and lowering prices, so that everyone had no food to eat.

At the same time, many enterprises have no sense of resource protection. In order to survive and wage wars and cheap exports with their own enterprises, it is not a case of "selling the heart of the pups".

It is worth noting that the pilot project of the national mineral land reserve strategy, which has been brewing for 4 years, is about to be launched. The first batch of pilot projects will be launched around the coal and rare earth resources. This is undoubtedly a useful attempt to seek the right to speak.

Answer

The "world factory" also requires trade pricing power

At present, China, known as the "world factory", is already a global processing and production center. It has a certain leading role in production, but the trade dominating power is far away from us.

"This situation is very abnormal, indicating that there are many problems in China's market mechanism level, which will affect further opening up and sustained and stable economic development."

Yao Jianru said.

He believes that changing this situation needs to be considered from the perspective of national development strategy: first, integrate the domestic market by means of market, establish a more stable coordination and cooperation relationship among enterprises, and not be "divide and rule"; two, make effective use of the anti-monopoly law and WTO rules to counter the behavior of international ore producers using monopoly to manipulate the market; three, take advantage of China's big market position and adopt various financial means to enhance the influence of Chinese enterprises on the market price by establishing futures markets and joint cooperation with other countries in China.

"Through vertical integration and the establishment of domestic futures market, we have made certain achievements in fighting for the right to speak."

Huang Junfei said, "if we pay attention to the futures market, we will find that the price of copper in China has been able to affect the price of the London futures market, which is unthinkable before 2004."

Huang Junfei believes that the low concentration of industry is an important factor affecting the discourse right of China's raw material market. China's current trade subjects are too large and the average size is small.

Take iron ore as an example, no enterprise in China can form a dialogue at the same level with Rio Tinto, BHP Billiton and three major multinational groups in vale.

"Therefore, the Ministry of Commerce has proposed the integration of industry concentration through industry associations, supplemented by state support to form a leading industry, which is very necessary in the long run."

Huang Junfei said.