Chinese refractory raw materials in the 1990s

"The People's Republic of China could very well be considered the largest untapped mineral and metal resource in the world. The proven reserves of antimony, barite, bauxite, fluorspar, graphite, lithium, magnesite, mercury, molybdenum, phosphate, pyrite, rare earths, talc, tin, titanium, tungsten, vanadium and zinc are among the largest in the world.Any company involved in the purchase or supply of industrial raw materials has undoubtedly followed the phenomenal growth of some of the Chinese mineral commodities, where growths in production of more than 200010 have occurred during the past ten years, for commodities like barite, cement, gold, gympsum silver and talc. Others, like bauxite and phosphate, experienced production increases in one year alone of over 45%, from 1986 through 1987!A popular rationale in the United States during the past two years has been the acknowledgment by Professor David Calleo, of Johns Hopkins School of Advanced Studies, that ""America is not sinking-the rest of the world is rising"". While we recognized this rise to be that of economic power for Japan, Korea, Brazil, Taiwan and, more recently, the newly-combined Germanies, China has also successfully completed her own modern five year development binge. But with each boom there is also a bust, and the start of the 1990sfor China shows signs of economic distress. China posted a budget deficit equivalent of US$1.9 billion in 1989 coupled with official inflation at 18010. Projections for 1990 are for US$1.8 billion deficit and inflation as high as 24%. However, government spending in the first seven months of the year climbed 16.4%, outpacing an 11.6% rise in revenue. Spending increases have been related to the government policy to keep prices on domestic goods artificially low, through subsidies, and to bailout inefficient state companies."