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Steelmakers pare prices following Baosteel
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More than ten major steelmakers across China cut prices on Tuesday, following the lead of Baosteel, China's largest steel maker by output. Most types of steel dropped 200 to 300 yuan per ton. As the industry leader, Baosteel often sets price trends for the sector.

The Shanghai-based company said its cuts would apply to October and perhaps the entire fourth quarter, depending on demand. Steel price cuts aren't unusual in China at that time of year. Some analysts say they expected prices to rise, as September and October are peak season for steel sales.

Others argue that second-half economic conditions would exert further pressure on steel prices. The first half saw weak nationwide sales of housing, automobiles and home appliances, all major users of steel.

(CCTV August 28, 2008)

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