China to boost metals stockpiles as part of reform
Source: www.chinamining.org Citation: Bloomberg Date: June 16, 2016
China plans to increase its stockpiles of base metals, via both state and commercial reserves, as it seeks to balance supply and demand amid a commodities glut, according to two people with knowledge of the matter.
The plan includes studying a trial programme for companies to build reserves separate to their inventories, the people said, declining to be named because the information is confidential.
China already holds stockpiles of metals though the State Reserve Bureau. The people didn`t give a timeline on when any new initiatives might be implemented or how they would be financed.
Commodity prices have collapsed since 2011 as mounting supply meets lacklustre demand in China, the world`s top consumer, which is facing its slowest growth in decades.
Other measures under consideration include accelerating reforms that would cut taxes for domestic miners, and adjusting trade policies to support exports of refined metals derived from imported ore, like copper and tin, the people said.
Calls to Li Pumin, Beijing-based spokesman at the National Development and Reform Commission, the country`s top economic planner, seeking comment on the measures went unanswered.
The plan reiterates the broader goals of China`s so-called supply-side reforms, including limits on new industrial capacity and stepping up the closure of excess capacity.
China`s fading infrastructure boom has left it saddled with too much capacity after decades of rapid growth. The nation`s steel industry, in particular, has drawn fire from competitors for exporting its surplus too cheaply, stoking trade tensions and hammering profits globally.
About CHINA MINING
Since first held in 1999, the scope and influence of CHINA MINING has grown rapidly year by year. As a global mining summit forum and exhibition, CHINA MINING Congress and Expo has become one of the world’s top mining events, and one of the world’s largest mining exploration, development and trading platforms, covering all aspects of the whole mining industry chain, including geological survey, exploration and development, mining rights trading, mining investment and financing, smelting and processing, mining techniques and equipment, mining services, etc. playing an active promotion role in creating exchange opportunities and enhancing mutual cooperation between domestic and foreign mining enterprises.
CHINA MINING Congress and Expo 2016 will be held at Meijiang Convention and Exhibition Center in Tianjin on September 22nd -25th, 2016. We invite you to join the event and to celebrate the 18th anniversary of CHINA MINING with us. For more information about CHINA MINING 2016, please visit: m.balanzskin.com.
