Chinese steel industry demands iron ore import restrictions
China's steel industry proposes that Beijing implement qualification requirements for iron ore importers following yesterday's activation of the automatic import license system. The Chinese Ministry of Commerce (MOFCOM) announced that it would implement an automatic import license system for iron ore imports as of March 1, 2005; however, MOFCOM did not disclose the details of the new system. The steel industry responded by drawing up ten requirements that importers should have to meet before being granted licenses. The requirements cover areas such as scale of production, environmental standards and registered capital for firms wishing to import iron ore. The petition will soon be submitted to MOFCOM. The move will reportedly support the automatic import license system implemented by MOFCOM. Chinese sources report that if MOFCOM accepts the proposal, only qualified firms will be allowed to get licenses and import iron ore from May onwards.