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Workers weld steel bars at a factory in Huaibei, Anhui province. Overproduction of iron ore and steel will send prices tumbling.
Workers weld steel bars at a factory in Huaibei, Anhui province. Overproduction of iron ore and steel will send prices tumbling.
(CHINA DAILY/REUTERS)

China’s steel meltdown will ripple around the world

There’s too much mining, and too much iron ore. Overproduction will take the price of steel’s raw material down by almost a third over the next few years, says Australia’s official forecaster. A supply glut could be just part of the problem, because a swathe of Chinese steel makers are burdened with too much debt – and Beijing is not keen on bailouts.