From Jan to Aug, 2007, assets in steel industry totaled RMB2.674 trillion, up 23.83% year on year. Investment in the industry had a clear rise. From Jan to Aug, 2007, sales revenue of the entire industry rose 36.15% year on year, showing a fast growth of sales revenue. Profits

from Januray to August in 2007 reached RMB124.51 billion, compared with RMB78.85 billion in the same period of 2006. The profits grew at a marvelous speed, which was far higher than sales revenue. This indicates that steel industry has entered its golden period of developing by leaps and jumps.

Overall Economic Returns of Steel Industry, Jan-Aug 2007

In Aug 2007, domestic output of crude steel reached 41.58 million tons, up 13.6% year on year, which declined a little compared to 14.5% recorded in July 2007. Domestic output of steel products was 48.273 million tons, up 23.7% year on year, which was almost the same to 23.9% posted in July 2007. As for the overall situation of steel industry in August, there was no obvious drop in output of crude steel and steel products, however, the growth rate of production month on month had a big decline, compared to the earlier period of the year.

Look at the specific growth of each of the following companies. From January to August 2007, Baosteel produced 18.95 million tons of crude steel, up 6.5% on year, ranking the first China, followed by the Anshan and Benxi Steel Group, which produced 15.62 million tons of crude steel, up 4.8% on year. Among the top 12 steel producers, Shanxi Taigang Stainess Steel Co. produced 6.12 million tons of crude steel, up 67.9% on year, but its growth rate was the fastest in the industry.

Top 10 Steel Companies interms of Crude Steel Output in China in Jan.- Aug. 2007

The years of 2007 to 2008 are a period of fast expansion of steel plate production capacity in China. Demand and supply are basically balanced in China steel market. China¡¯s steel industry in the future may develop with following characteristics.

Iron ore price will still be on the upward trend, but the growth rate of price will slow down;

Policy risks will increase and the pressure of environment protection will be increasingly havier to companies;

Export pressure will also grow;

As required by the national policy, China will create more large steel conglomerates, which weigh on the development of middle-small steel producers.

2. Economic Benefits of China Steel Industry 
2.1 Overall Situation of China Steel Industry
2.1.1 Overall Economic Benefits Situation
2.1.2 Overall Steel Companies Situation
2.1.3 Overall Management Situation
2.1.3.1 Link Relative Ratio
2.1.3.2 Profit Making Ability
2.1.3.3 Operating Ability
2.1.3.4 Debt Paying Ability
2.1.4 Contrast of Steel Companies with Different Scales
2.1.4.1 Analysis of Average Indicators per Capita 
2.1.4.2 Analysis of Profit Making Ability
2.1.4.3 Analysis of Operating Ability
2.1.4.4 Analysis of Debt Paying Ability
2.2 Economic Benefits of Steel Companies
2.2.1 Economic Benefits of Leading Iron-Making Companies
2.2.2 Economic Benefits of Ferrous Smelting and Rolling Companies 
2.2.3 Economic Benefits of Leading Steel-Making Companies
2.2.4 Economic Benefits of Rolling Processing Companies
2.2.5 Economic Benefits of Leading Ferroalloy Companies  

3 Industry Chain Related to Steel Industry
3.1 Industry Chain
3.1.1 Overall Situation of the Industry
3.1.1.1 Complete Industry Chain
3.1.1.2 Target Industry Chain
3.1.1.3 Product Structure
3.1.1.4 Basic Characteristics
3.1.2 Target Customers
3.1.3 Target Products
3.1.3.1Choosing Principles 
3.1.3.2 Choosing Results
3.2 Influence of Upstream Iron Ore Industry
3.2.1 Production of Crude Iron Ore Decreasing
3.2.2 Retrospect of Iron Ore Fine Market in North
3.2.3 Retrospect of Iron Ore Fine Market in South
3.2.4 Iron Ore Imports Growing
3.2.5 International Marine Shipping Price Hiking  
3.2.6 Iron Ore Price Hiking

4. China Steel &Iron Industry Operation Situation
4.1 Supply and Demand
4.1.1 Steel & Iron Production
4.1.1.1 Crude Steel
4.1.1.2 Iron Ore
4.1.1.3 Key Companies
4.1.1.4 Industry Concentration
4.1.2 Domestic Steel Price Indicators
4.1.2.1 Building Steel Material Market
4.1.2.2 Steel Sheets Market
4.1.2.3 Steel Pipes Market
4.1.3 Steel& Iron Output around China
4.1.3.1 Steel & Iron Output
4.1.3.2 Steel & Iron Output Trends
4.1.4 Steel &Iron Products Output around China
4.1.4.1 Steel Product Output
4.1.4.2 Steel Product Output Trends 
4.2 Import and Export
4.2.1 Import and Export Volume of Steel & Iron
4.2.1.1 Import of Steel Billet and Steel
4.2.1.2 Export of Steel Billet and Steel 
4.2.1.3 Big Drop of Crude Steel Imports
4.2.1.4 Export Price of Steel Billet and Steel
4.2.1.5 Price Differences between Import and Export of Steel
4.2.2 Export Trends of Steel & Iron
4.2.2.1 Steel & Iron
4.2.2.2 Steel 
4.2.3 Import Trend of Steel & Iron 
4.2.3.1 Steel & Iron
4.2.3.2 Steel Products
4.3 Development Trends of Steel & Iron Industry
4.3.1 Status Quo of the Industry
4.3.1.1 Output Capacity of Low Level Takes up Great Proportion
4.3.1.2 Unreasonable Industry Pattern
4.3.1.3 Low Industry Concentration
4.3.1.4 High Consumption
4.3.1.5 Price of Hot Rolled Steel Sheet Fluctuates 
4.3.1.6 Investment Grows Slowly
4.3.2 Industry Trends
4.3.2.1 Lately Changes of Industry
4.3.2.2 Main Industry Trends

5. Target Market Location in China Steel & Iron Industry
5.1 Investment Opportunities
5.1.1 Steel & Iron Companies Merged to Create Investment Opportunities
5.1.1.1 Merger among Steel & Iron Companies See Good Prospect
5.1.1.2 Status Quo of Merger among the Companies
5.1.1.3 Influences Brought about by Merger
5.1.1.4 Investment Opportunities
5.1.2 Increasing Ship Board Demand Pushes the Development of Steel & Iron Industry
5.1.2.1 Ship-Building Industry Promotes the Demands for Steel & Iron 
5.1.2.2 Ship Board Dependence Degree 
5.1.2.3 Key Companies in Shandong
5.2 Key Steel & Iron Companies
5.2.1 Big Companies
5.2.2. Middle Companies
5.2.3 Small Companies
5.3 Steel & Iron Product Location
5.3.1 Line Steel and Reinforced Steel Bar Market Forecast
5.3.1.1 General Condition of the Market 
5.3.1.2 Prospect of Market
5.3.2 Forecast of Profiled Market
5.3.2.1 General Situation of the Market
5.3.2.2 Prospect of the Market
5.3.3 Middle-Thick Steel Sheets Market Forecast
5.3.3.1 General Situation of the Market
5.3.3.2 Prospect of the Market
5.3.4 Cold Rolled Steel Market Forecast
5.3.4.1 General Situation of the Market
5.3.4.2 Prospect of the Market
5.3.5 Silicon Steel Market Prospect
5.3.5.1 General Situation of the Market
5.3.5.1 Prospect of the Market
5.3.6 Seamless Steel Pipes Market Prospect
5.3.6.1General Situation of the Market
5.3.6.2 Prospect of the Market

6. Risks in China Steel & Iron Industry
6.1 Risks Suggestion
6.1.1 Supply Risks in Industry Chain
6.1.1.1 Risks from Market
6.1.1.2 Risks from Resource Supply
6.1.1.3 Risks from Transportation Cost
6.1.2 Risks from Policy
6.1.2.1 Industry Policy Changes
6.1.2.2 Risks from Environment Protection Requirement
6.2 Risks from Investment
6.2.1 Steel & Iron Industry Suffers Pressure from Upstream Industries
6.2.1.1 Frequent Difficulties from International Counterparts
6.2.1.2 Profits are lessened by Upstream Industries
6.2.1.3 Middle-Small Steel Companies Confronting with Policy Pressure  
6.2.1.4 Investment Risks
6.2.2 Severe Steel & Iron Overproduction
6.2.2.1 Debt-Paying becomes Increasingly Risky
6.2.2.2 Interest Rate also becomes Increasingly Risky
6.2.3 Export Risks
6.2.3.1 The Industry is in Difficulties
6.2.3.2 International Trade Suffers Frictions
6.2.4 Private Steel& Iron Companies Facing with Protruding Credit Problems
6.2.4.1 Existing Problems on Enviornment Protection among Private Steel& Iron Companies
6.2.4.2 Analysis of the Risks