December 02, 2008

Laiwu Steel signs iron ore transport contract with Zodiac

Shandong based Laiwu Steel signed its first iron ore contract of affreightment with British ship owner Zodiac Maritime Agencies Ltd on September 14th 2007 to cope up with fluctuations in freight market, lock in ocean shipping cost and effectively control risks in iron ore imports.

As Laiwu Steel imports more and more iron ore its dependency on overseas resources in increasing. The steelmaker set foot in contract of affreightment operation in this year and paved the way for the final signing. The contract indicates Laiwu Steel has tackled stable and long term resource supply and has started to optimize ocean shipping logistics.

In this year Laiwu Steel plans to consume about 12.6 million tonnes of imported iron ore amid the acceleration of globalization.

(Sourced from Mysteel.net)