Comparative Analysis Based On The Price Difference Of China Japan And Korea

Iron ore resources as a basis, is an important strategic material necessary for sustained development. With the increase demand for iron ore and the serious shortage of domestic iron ore resources, our country must import large quantities of iron ore in order to fill the gap between supply and demand in the domestic market. Although China's iron ore imports continue to increase, but the international iron ore trading price has not dropped instead of rising. And our country suffered the injustice of price discrimination in international trade in iron ore, which had a direct impact on our market and the national economy.This paper analyzes the import of our country and iron ore buyer and seller of the market structure to explain the loss of the right to set the international iron ore pricing mechanism. Secondly, test the significant difference between Japan and South Korea's iron ore import prices in 1985-2008 and 2009-2012 years. The test results show that the discrimination of imports prices is present before 2008, but from 2009 this phenomenon has disappeared. This paper analyzes the cause of this phenomenon. This is important to our country to improve the right in international negotiation.In order to enhance the international status of our country,we must do something. The first is that we must reduce dependence on the three major iron ore oligopoly suppliers to improve weak position in the one-year price negotiations. The second is that we can take full advantage of the unique properties of iron ore trading and negotiation mechanisms to analyze the divergence of interests among cash market, a one-year contract market and the three major iron ore suppliers. And gain the initiative in the pricing of iron ore imports. This is important to use the domestic and international markets, import iron ore resources reasonably, participate in international competition and cooperation actively and increase the rapid of international competitiveness. So our country can achieve the optimal allocation of the national iron ore resources and protect the national security and economic stable development.