A Hungry Dragon
...esponsible for the two-fifths of the increase in global consumption of oil since 2000. Their global oil demand is at 8%. China also demands a rush in energy. This demand had raised the price of coal to double over the past year. They consumed 40% of coal and 30 % of steel in the world. China is responsible for the 50% rise of the raw materials. And in The Economist's it says that China demand for energy will continue to rise further. For the most part, though, the commodity and materials firms are being energized by the growth opportunity presented by China. China will remain a powerful driver of global demand growth for many commodities in 2004 and beyond. I don’t think that everyone would be happy about the rising price of many commodities. Rising global commodity and material prices hurt consumers everywhere. If China doesn’t slowdown on annual growth, the price will keep rising. But, if China were to slowdown, this could lead to lower price in commodities. This might not be good for the copper, oil, and coal industries that China imports in from other business around the world. Though, it would be good for the consumer around the world because the price would not be as high. This slowdown could be a good or bad thing. It has to do with the demands. How much commodities does the consumer need? How much are they demanding for these commodities? If the consumer demands more of these commodities and the supply is low, the price will rise. Because, of the shortage of supplies. Say if China slowdown, we probably have extra supplies and the price will decrease. Though the future looks bright, there may be a few clouds on the horizon. The uncertain balance and effectiveness of Chinese activity in the raw materials markets ought to dis...