The European Iron and Steel Industry Association (hereinafter referred to as Europe VAI) recently issued a joint venture between the two oppositions Billiton and its appeal to the EU antitrust authorities to prevent two Extension & r
The European Iron and Steel Industry Association (hereinafter referred to as Europe VAI) recently on the "Extension 2" issued a joint oppositions, its appeal to the EU antitrust authorities to stop "two Billiton" in iron ore joint venture plans on the grounds that this would result in iron ore Stone prices. This is the second China Iron and Steel Industry Association and the International Iron and Steel Institute, the agency also issued an alliance against a powerful voice.
     Australia's two mining giants Rio Tinto and BHP Billiton collectively, the "two extension", which the two companies and Brazil's CVRD dominate the industry reported added value of iron ore over resources, and manipulate the price of iron ore agreement shot up for many years. According to two giants previously announced program, the two sides will set up a joint venture co-operation of iron ore.
     European Steel Union recently said that "two extension" of iron ore will make the original merger of the business confidential information is no longer is confidential within the company, the two sides will result in collusion with the effect of advance and retreat, thus further negotiations about the price of iron ore.
European Steel Union bluntly pointed out that two Billiton joint venture plans to fundamentally touched the European steel industry, consumers and the EU economy as a whole. Once the plan has been released, it will seriously limit the global seaborne iron ore market. European Steel Union asked the European Commission to exercise its authority, and carefully investigate the program of free competition.
     In fact, China's steel industry, the collusion between mine operators will increase the difficulty of the negotiations. "Two extension" the news came out the joint venture, China Steel Association on the position made it clear that such a joint venture agreement with a strong monopoly of color, Chinese steel companies adamantly opposed. Not long ago, the International Steel Association Secretary-General also publicly expressed the hope that the EU can veto the merger.
But the situation is not optimistic. Earlier this month, Rio Tinto head of iron ore, said the company still expected to be December 5 deadline for a joint venture with BHP Billiton to sign binding agreements on issues, but this is currently the EU has not raised any objections.
     At present, China-related companies are closely monitoring the progress of the event, as it will directly affect the ready to be launched in 2010 iron ore negotiations. The mining giants were also working hard to drum up enthusiasm, president of CVRD said yesterday that talks with China have never been quiet.