Replies to post #5373 on The Rising Influence of Rising Affluence

[zipjet]

But is the China growth real and sustainable?

Example: China has 220M t/yr of idle steel capacity, 2-3 times the entire US capacity.

Sounds like they have enough capacity.

Not really - they plan to build the worlds largest mill ever.

Keep in mind that capital projects account for around half of China GDP compared with less than 10% in the US.

China looks like a bubble to me ready to burst.

ij



http://www.steel.org/en/About%20AISI/Statistics.aspx

http://www.businessweek.com/articles/2012-06-28/for-china-too-much-steel-isnt-enough