Iron ore will have to collapse again

Friday, 4 February 2022

It ain’t getting any better in Chinese property. Via GaveKal:

The role of construction is huge:

-40% new starts equates to -240mt of iron ore demand. There is no sign of this getting any better in H1. Nor will be any infrastructure offset over the year though there will be from H2,21.

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.