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Analysis on the comparative advantage of international trade in iron and steel

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      1. Iron and steel industry: the iron and steel industry is also called the black metallurgical industry. The iron and steel industry is an important basic industrial sector, and is the material basis for the development of national economy and national defense. The level of the metallurgical industry is also a symbol of the industrialization of a country. The iron and steel industry is a huge heavy industrial sector. The resources of its raw materials, fuel and auxiliary materials affect the scale of the iron and steel industry, the quality of the products, the economic benefits and the direction of the layout. Iron and steel is an important basic raw material, and it is the basic industry of the national economy. Because the relationship between iron and steel industry and other industries is very close, many countries put the development of iron and steel industry in a very important position, and coordinate this development with the development of all sectors of the national economy, maintaining normal proportions. Two, the status of iron and steel industry: according to the statistics of relevant agencies of the United Nations, the world's iron ore storage is between 850 billion and 9000 billion tons (excluding 2500 billion tons of magnetite in the ocean). The countries with rich iron ore resources include Russia, Brazil, Canada, Australia, the United States, China, India, South Africa, France and so on. Fuel resources in the United States, Russia, China's coking coal reserves are the most abundant. In January 22, 2009, the statistics released by Brussels international iron and Steel Association (IISI) showed that the total output of crude steel in the 67 main steel producing countries and regions in the world was 13.297 billion tons in 2008, down 1.2% compared with the same period last year, and its output has been over 13 billion tons for second consecutive years. The output of crude steel in EU, North America, South America and CIS and other major steel producing countries and regions has declined, but the output of Middle East and Asia, especially China, has increased. China's steel output is 5.02 billion tons, up 2.6% over the same period last year, which is 1 times more than that of 2.22 billion tons in 2002. China's steel production accounts for 38% of the total output of the world's crude steel.
      Three, import status analysis: over the past 3 years, with the rapid growth of China's crude steel production, the volume of the world's iron ore trade has also increased significantly. The total amount of iron ore imports in the world in 2004 was
653 million T, of which the most imported areas are concentrated in Asia and the 15 EU countries. The total amount of imported iron ore in Asia is 411 million T, accounting for 63% of the world's iron ore trade. The 15 EU imports of iron ore are 130 million T, accounting for 20% of the world's iron ore trade. In recent years, the quantity of imported iron ore in China has increased dramatically. In 1995, 41 million 150 thousand T of iron ore was imported, 69 million 970 thousand T of imported iron ore in 2000, 208 million T in 2004, and 135 million T of imported iron ore in Japan. The total imports of iron ore in China and Japan are 343 million T, accounting for 52.5% of the world's iron ore trade. Four, analysis of export status: with the rapid growth of global steel production, the scale of international steel trade has also expanded. In 2005 the world's steel exports 371 million 300 thousand tons, accounting for 36.3% of global steel production, steel exports in 2006 amounted to 418 million 300 thousand tons, accounting for 37.4% of global steel production; 2007 global steel exports 432 million 600 thousand tons, accounting for 35.8% of global production in 2008, the global steel export volume of 430 million 700 thousand tons, accounting for 36.4% of global steel production.

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