Global Miners Keen to Tap Chinese Market

1. Global Miners Keen to Tap ChineseMarket Group members 魏陈钗 1003112237 李巧虹 1003112238 林梅燕 1003112240 http://www.chinadaily.com.cn/business/2013-04/08/content_16381946.htm

2. Global producers said they will continue to invest in China for the country's urbanization and industrialization in need of iron ore. Fortescue Metals Group Ltd, Australia's third-biggest iron ore producer, will invest $10 billion to meet the growing demand mainly from China, said the company's CEO Neville Power during the Boao Forum for Asia Conference held in South China's Hainan province.

3. He said FMG will have 155 million metric tons of production capacity by the end of 2013 and up to 90 percent of the output will supply the Chinese market. During the Forum, Sam Walsh, CEO of the world's third-largest miner Rio Tinto, said that China's "enormous" economic base will create significant demand and Rio Tinto will continue to invest in China. At present, a third of Rio Tinto’s revenue is from the Chinese market.

4. Valin Group Co in Hunan province, one of China's large steel companies, has become a majorshareholder of FMG. "The global iron ore market is monopolized by giant producers and FMG is working on breaking the monopolyby providing more choices of high-quality iron ore to Chinese customers," said Liu Xiaodong, marketing director of the company.

5. Words & Expressions In less than a decade, Fortescue has gone from strength to strength through its unparalleled growth. Listed in the S&P/ASX50 share index, Fortescue has firmly established itself as one of the world's leaders in iron ore production and sea-borne trading. Now, FMG is the Australia's third-biggest iron ore producer. http://www.fmgl.com.au/ FMG集团(Fortescue Metals Group Ltd.) A Dynamic Organization

6. The Form is a non-profitinternational organization that hosts high-level forums for leaders from government, business and academia in Asia and other continents to share their vision on the most pressing issues in this dynamic region and the world at large. The Forum is committed to promotingregional economic integration and bringing Asian countries even closer to their development goals. The theme of the current annual conference is "Asia Seeking Development for All: Restructuring, Responsibility and Cooperation". http://en.wikipedia.org/wiki/Boao_Forum_for_Asia 博鳌亚洲论坛 (Boao Forum for Asia; BFA)

7. Monopoly 垄断 A monopoly is an enterprise that is the only seller of a good or service. In the absence of government intervention, a monopoly is free to set any price it chooses and will usually set the price that yields the largest possible profit. http://www.econlib.org/library/Enc/Monopoly.html

8. Background In 2013, the Boao Forum for Asia started from April 6 to April 8. During the Boao Forum, President Xi Jinping emphasized that China will continue to pursue the basic state policy of opening-up, conduct extensive international cooperation, steadily improve its investment environment, open its market, and endeavor to achieve mutual benefit and win-win results with the whole world.

9. China is expected to produce 746 million tons of crude steel in 2013, 30 million tons more than last year, which will result in new iron ore demand of 50 million tons, according to figures from the National Development and Reform Commission, the country's top economic planner.

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