Analysis of the Impact of Interest Rate Increase on China's Steel Prices

The People's Bank of China announced on the evening of the 5th that since April 6th, 2011, the financial institutions have raised their benchmark interest rates. The one-year benchmark deposit interest rate of financial institutions was raised by 0.25 percentage points. After the adjustment, the one-year deposit interest rate reached 3.25%, and the one-year interest rate reached 6.31%.

This is the fourth time since the Central Bank of China announced the rate increase since last year and it is the second time this year to raise interest rates. Why did you announce a rate hike at such a point in time and what impact would it have on the rate hike? Will the pace of further interest rate hike be terminated? The author first interviewed related parties on the above issues.

Why suddenly raise interest rates again Analysts believe that the central bank's decision to raise interest rates at such a time is intended to cope with price pressures that may hit new highs again.

"The central bank announced that the rate hike was in line with market expectations and that the central bank was responding in advance to possible inflationary pressures." Liu Yanhui, director of the China Economic Assessment Center at the Institute of Finance of the Chinese Academy of Social Sciences, believes that stabilizing prices is an important task for this year's work, and the market It is expected that the price index will again hit a new high in March.

The proliferation of global liquidity brought about by the United States' quantitative easing policy has led to continued rising prices of international commodities, and domestic import inflation pressure is increasing. At the same time, under the combined influence of the rapid growth of domestic economic demand, the generally loose monetary liquidity promotion, and the rising labor costs brought about by the turning point of the population, the pressure of domestic inflation in the first half of this year is still relatively large.

“We expect the price index to rise again in March. At the same time, under the influence of international commodity prices, the price of the PPI (producer price index) will also climb to a relatively high level.” Liu Yuhui said.

In addition, experts pointed out that in the current economic environment, the central bank's frequent interest rate hikes are also based on the consideration of tightening liquidity.

Shen Jianguang, Asia's chief economist at Mizuho Securities, pointed out that the current domestic liquidity is far beyond 2007 to 2008, and the liquidity situation will not change in the short term. This is the reason why the authorities continue to raise interest rates and increase the reserve ratio.

Economist Zhou Qiren, a member of the central bank’s monetary policy committee, commented on the relationship between raising interest rates and liquidity: Theoretically speaking, raising interest rates is like feeding tigers more money to the currency tigers and letting them linger in cages. Logically, as long as the interest rate hike is sufficient, the fierce currency tiger will fall.

Overview
Quick Details
Place of Origin:
Jiangsu, China (Mainland)
Brand Name:
Huaxin power
Key word:
Compact Busbar Trunking
Current Rating:
200 A to 6300 A
System Voltage:
AC380V/690 V
Type:
Compact Busbar trunking
Series:
compact busbar trunking
Packaging & Delivery
Packaging Details:
Compact busbar trunking: 
standard export packaging or customized packaging
Delivery Detail:
2-3 weeks
Compact Busbar Trunking
 
1. Current rating: 200 A to 6300 A
2. Ingress protection of IP54 & IP65
3. Excellent short circuit ratings [upto 100KA]
4. Standard lengths of 4m / 3m / 2m / 1m
5. System voltage: AC380V/690 V
6. Conductor material: high conductivity copper bar
7. Halogen free, fire retardant Class-H-Epoxy insulation
8. Tap - off units are suitable for MCCBs or SDFs or MCBs
9. Configuration of 3P3W / 3P4W / 3P5W with or without integral earth
10. Flexible system direction to meet cross arrangement
11. It can be re-used after disassemble.
 
Competitive Advantage
 
1 Well and High Quality Control
2 Prompt Delivery
3 Customer's Design and Logo are Welcome
4 Competitive Prices
5 Small Order Acceptable
6 Packaging detail: standard export packaging or customized packaging
 
 
Description
 
XLV series busway trunking system is advanced and energy-saving type developed by ZHENDA. It adopts British Henrob and Germany EPRESS self-piercing riveting technology, and the overall structure of enclosure are riveted together automatically, ensuring high degree of automation. The use of hydraulic pressure makes the overall strength of busway being substantially enhanced, and has a good sealing effect and anti-seepage feature.
Besides above, it has features below:
1. Flexible system direction to meet cross arrangement
2. Space saving
3. Can be re-using after disassembled.
4. High short-circuit strength and protection degree.
5. Both nut tightening and self-piercing riveting technology are available.
6. It adopts floor plates to double the heat dispersion.
7. Compact construction, good heat dispersion, low impedance, reliable and easy to installation and maintenance.
 
Technical Parameters
 
Rated current(A) 250 400 630 800 1000 1250 1350 1600 2000 2300 2500 3150 3800 4000 4500 5000
Rated voltage AC380/690V  
Rated insulated voltage 660-1000V  
Rated frequency 50/60Hz  
Rated short-time withstand current  
30(KA)  
80(KA)  
100(KA)  
Overvoltage category/Pollution degree  
III/3  
Protection degree IP40,IP54,IP65  
Weight(kg/m) 9 11.5 12.5 15 18 23 25 32 40 48 55 69 83 90 102 116
Impedance of relative neutral line at temperature 35°C and frequency 50Hz  
Resistance 0.12 0.105 0.092 0.081 0.062 0.05 0.038 0.029 0.023 0.018 0.015 0.014 0.012 0.011 0.009 0.008
Reactor 0.051 0.045 0.039 0.033 0.027 0.022 0.019 0.014 0.011 0.009 0.008 0.007 0.006 0.005 0.004 0.004
Impedance 0.13 0.114 0.101 0.087 0.068 0.055 0.042 0.032 0.025 0.02 0.017 0.016 0.013 0.012 0.01 0.009
 
Comparison between enclosure and conductor section area (equivalent with aluminum enclsoure)
 
Current(A) PE section area
400 320%
630 274%
800 240%
1000 305%
1250 235%
1400 211%
1600 187%
2000 157%
2300 136%
2500 121%
3100 221%
3800 197%
4300 184%
5000 171%
 
Tap - off units are suitable for MCCBs or SDFs or MCBs
 
Protection unit Current(A) H(mm) W(mm) L(mm)
Fuse 16-25 310 250 500
Switch 32-160 270 360 450
200-400 340 390 550
630-800 370 550 700
Breaker 16-200 310 250 550
250-400 310 340 650
630-800 350 340 950
 

Compact Busbar

Compact Busbar,Compact Busbar Duct,Compact Busbar Trunking,Electrical Bus Duct

Yangzhong Huaxin Power Equipment Co.,Ltd , http://www.huaxinbusbarchina.com