Posted on 19/01/2017 in category Non-Ferrous
BIR World Mirror on Non-Ferrous Metals - Issue January 2017
2017: likely to be another year of challenges
I would like to wish everyone a prosperous 2017. And to my Chinese colleagues, Happy New Year 恭喜發財.
BIR’s Convention in Hong Kong is just four months away and, as usual, I have organised a working group comprising members and board members in Eastern Asia to prepare our non-ferrous plenary programme. And then in October this year, we will hold our Round-Table meeting in India.
During the final two months of 2016, many of the year’s uncertainties became realities: the US Presidential election was won; the Federal Reserve increased interest rates after a year-long debate; China devalued its currency; and non-ferrous commodity prices emerged from their prolonged period in the draught.
Given that Chinese New Year is just around the corner and the whole of Chinese industry has been subjected to a thorough environmental inspection owing to increasing levels of smog in all major metropolitan cities, trading activities have been greatly impacted. In addition, the future of the Chinese RMB is still cloudy for the next few months.
Without doubt, the new administration in Washington DC could be very different from anything that has gone before. Could this lead to global trading barriers or even trade wars? How strong will the US dollar become? Will the Federal Reserve increase interest rates again this year? And with China’s President Xi starting his second five-year term in November, will he be more flexible regarding economic controls?
Without doubt, 2017 is promising to be another year full of challenges.
by David Chiao
Uni-All Group Ltd (USA)
President of the Non-Ferrous Metals Division