Bulletin – March Quarter 2011 The Emergence of the Chinese Automobile Sector Abstract

The Chinese automobile sector has experienced rapid growth over the past decade, with China recently becoming the world's largest producer of automobiles. Given the steel-intensive nature of automobile production, the expansion of China's automobile sector has seen it become an important end-user of steel. With the number of cars in China still very low relative to its large population, car sales are likely to remain at a high level for the foreseeable future; accordingly, Chinese car makers should remain a significant (and growing) source of demand for steel.

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