Faced with rapidly mounting naval freight costs, Chinese steel makers have signed a pact with maritime transportation companies to set up an exchange mechanism. A meeting took place on July 6, planned by China Iron and Steel Association (CISA), to carve out cooperation avenues between players in the two industries.

Luo Bingsheng, a senior official with CISA, said that this sort of cooperation will prove mutually beneficial since it will slash costs for steel makers as well as increasing profits for maritime transportation companies. It will also put a stranglehold on any monopoly attempts by international shipping companies, he added.

For more details, please read the full the story in Chinese (http://www.cnstock.com/sycyzh/2007-07/10/content_2315633.htm)

(China.org.cn July 10 2007)