Nickel Giant Tsingshan Cuts Indonesian Stainless Steel Output
(Bloomberg) -- The world's biggest maker of stainless steel has suspended some production lines in Indonesia, in a bid to support prices as sluggish demand and trade uncertainty weigh on the market.
China's Tsingshan Holding Group Co., also the top producer of nickel that's used in the alloy, halted some stainless steel output earlier this month at the Indonesia Morowali Industrial Park on the island of Sulawesi, according to people familiar with the matter. The move is likely to support stainless prices, while pressuring the nickel market. Both hit five-year lows in April.
The suspended lines have been placed in maintenance without a clear schedule of when they might resume, the people said, declining to be identified as they aren't authorized to speak publicly. The lack of material has led to the shutdown of a rolling mill at the site, they added.
Tsingshan didn't respond to a request for comment. The company accounted for almost a third of the world's stainless production last year, according to Macquarie Group Ltd.
The Chinese firm's steelmaking operations at Morowali were built to take advantage of Indonesia's dominance in nickel production. Helped by foreign investments, including from Tsingshan, the country accounts for over half the world's supply of the base metal, which also features heavily in electric-vehicle batteries.
China and Indonesia produce 71% of the world's stainless steel, Macquarie said in a note in April. China's slowing economy has hit demand, while exports from both countries are threatened by the Trump administration's tariff policies.
More stories like this are available on bloomberg.com
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
News18
an hour ago
- News18
Yunus, Army, Pakistan, And China: A New Axis Threatens India's Security
Last Updated: China's role as the linchpin of this emerging axis cannot be overstated, as it leverages its economic and military influence to counter India's rise India faces an emerging geopolitical storm as Bangladesh's interim government, led by Muhammad Yunus, aligns with Pakistan and China, forming a troubling axis that threatens New Delhi's regional dominance. The convergence of Yunus's administration, Bangladesh's military, Pakistan's strategic provocations, and China's growing influence in South Asia presents a multifaceted challenge that India cannot afford to underestimate. Tensions escalated following provocative remarks by a retired Bangladesh army officer, closely tied to Yunus's government, advocating for a joint military arrangement with China to seize India's northeastern states in the event of an India-Pakistan conflict. This inflammatory rhetoric, coupled with Bangladesh's warming ties with Pakistan and China, signals a deliberate shift in Dhaka's foreign policy under Yunus, moving away from the India-friendly stance of the ousted Sheikh Hasina regime. Since August 2024, when Hasina's government fell, attacks on minorities, particularly Hindus, have surged in Bangladesh, straining bilateral relations. India's revocation of transshipment facilities for Bangladeshi exports in April 2025 further highlighted this rift. Meanwhile, Pakistan's military, emboldened by Chinese weaponry like the J-10C jets and PL-15 missiles, has intensified its aggression, as seen in the May 2025 India-Pakistan clashes. China, leveraging its economic and military largesse, is deepening its footprint in both nations, positioning itself as a counterweight to India. This alignment, fueled by Yunus's outreach to Beijing and Pakistan's reliance on Chinese arms, creates a volatile dynamic that could destabilise South Asia. The combination of Yunus's interim regime, Bangladesh's military ambitions, Pakistan's hostility, and China's strategic manoeuvring forms a potent threat that demands India's urgent attention as it navigates this complex regional chessboard. Muhammad Yunus, as Bangladesh's interim leader since August 2024, has steered Dhaka towards a confrontational stance against India, undermining decades of cooperative ties fostered under Sheikh Hasina. His administration's failure to curb rising attacks on Hindus—over 1,000 incidents reported since August—has inflamed tensions, with India viewing these as a deliberate signal of hostility. Yunus's visit to China in early 2025, where he positioned Bangladesh as a gateway for Chinese economic expansion, particularly highlighting the landlocked nature of India's northeastern states, raised alarm in New Delhi. By pitching Bangladesh as the 'only guardian of the ocean" for the region, Yunus invited Beijing to deepen its strategic presence, potentially encircling India's vulnerable northeast. His government's appointment of Major General (Retd) ALM Fazlur Rahman, who called for occupying India's seven northeastern states in coordination with China if India attacks Pakistan, as chairman of the National Independent Commission, underscores this shift. Though Dhaka distanced itself from Rahman's remarks, the lack of disciplinary action suggests tacit approval. This rhetoric aligns with Yunus's broader strategy to balance against India by leveraging China's economic and military support, including agreements signed during his China visit to enhance infrastructure and trade. The revocation of India's transshipment facility, which crippled Bangladesh's export routes, was a direct response to this pivot. Yunus's alignment with anti-India forces, particularly in the context of rising communal violence, risks alienating India's goodwill and strengthening a Bangladesh-China axis that could destabilise the region. As India prepares for potential escalations, Yunus's provocative leadership signals a new front in India's security challenges, especially given Bangladesh's proximity and historical ties with Pakistan. Bangladesh's Military Ambitions and Regional Instability Bangladesh's military, under Yunus's interim government, is emerging as a destabilising force, emboldened by its growing alignment with China and Pakistan. The provocative statement by Major General (Retd) ALM Fazlur Rahman, a key figure appointed by Yunus to investigate the 2009 Bangladesh Rifles mutiny, reflects a broader militaristic undercurrent. Rahman's call for a 'joint military arrangement" with China to target India's northeast, though officially disavowed, highlights a dangerous mindset within Bangladesh's military circles. The Bangladesh army's top general, Qamarul Hasan, visited Pakistan in early 2025, meeting with army chief Asim Munir to discuss enhanced military cooperation. This visit, coupled with Yunus's outreach to China, suggests a coordinated effort to challenge India's regional influence. Bangladesh's military modernisation, supported by Chinese arms, including Type 59 tanks and anti-ship missiles, is modest but strategically significant given its proximity to India's sensitive northeastern border. The region's landlocked geography makes it vulnerable to disruptions, and Bangladesh's control over key maritime routes amplifies this threat. Reports indicate China is funding port upgrades in Chittagong, potentially for dual-use military purposes, which could facilitate Chinese naval presence in the Bay of Bengal. The interim government's failure to address minority violence, coupled with its military's flirtation with anti-India rhetoric, risks escalating tensions into a broader conflict. India's military, already stretched by border disputes with China and Pakistan, must now contend with a potentially hostile Bangladesh, complicating its strategic calculus. This military posturing, backed by Chinese support, positions Bangladesh as a wildcard in South Asia's security landscape, directly threatening India's northeastern stability. Pakistan's Aggression and Chinese Military Backing Pakistan's military escalation against India, particularly evident in the May 2025 clashes, is deeply intertwined with its reliance on Chinese weaponry, amplifying the threat to New Delhi. Following a terrorist attack in Kashmir that killed 26 tourists, India launched missile strikes on alleged terrorist infrastructure in Pakistan and Pakistan-occupied Kashmir. Pakistan retaliated with Chinese-made J-10C fighter jets and PL-15 missiles, claiming to have downed Indian aircraft, including French-made Rafales. The conflict, which saw drones and missiles targeting airbases, highlighted Pakistan's dependence on Chinese arms, with 63% of China's arms exports from 2020-2024 going to Pakistan. The J-10C's reported success against Western technology has boosted China's defence industry, with stocks of AVIC Chengdu Aircraft rising 40% during the conflict. Pakistan's military, led by General Asim Munir, views India as an existential threat, a stance reinforced by its nuclear modernisation and battlefield nuclear weapons development, as noted in a 2025 US Defense Intelligence Agency report. China's support, including the HQ-9 air defence system and joint military exercises, strengthens Pakistan's confidence in confronting India. This dynamic not only escalates the India-Pakistan rivalry but also serves China's interest in keeping India preoccupied with regional conflicts, draining its resources. The Pakistani military's ideological commitment to Kashmir, coupled with Chinese backing, ensures that tensions will persist, with the potential for rapid escalation given both nations' nuclear capabilities. India's successful strikes on Pakistani airbases, despite losses, demonstrate its resolve, but the China-Pakistan nexus complicates its strategic response, making this a critical threat for 2026 and beyond. China's Strategic Manoeuvring: Exploiting Regional Tensions China's role as the linchpin of this emerging axis cannot be overstated, as it leverages its economic and military influence to counter India's rise. Beijing's deepening ties with Bangladesh and Pakistan create a pincer effect, encircling India from the east and west. In Bangladesh, China is investing heavily in infrastructure, including the Chittagong port, which could serve as a strategic foothold in the Indian Ocean. Yunus's invitation for Chinese expansion, emphasising Bangladesh's maritime dominance, aligns with Beijing's Belt and Road Initiative, aiming to secure access to Nepal and Bhutan's markets while pressuring India's northeast. In Pakistan, China's military support, including advanced J-10C jets and PL-15 missiles, has transformed the India-Pakistan conflict into a proxy battleground for Chinese and Western technologies. The May 2025 clashes provided China with a real-time intelligence harvest, allowing it to assess Indian military capabilities through Pakistan's use of its weapons. China's fishing fleets, doubling as intelligence-gathering units, have been spotted near Indian naval drills, further enhancing Beijing's surveillance capabilities. top videos View all Despite strained China-Pakistan ties due to attacks on Chinese workers in 2024, Beijing continues to back Pakistan to keep India engaged in regional conflicts, diverting its focus from the Sino-Indian border dispute. China's neutral public stance during the India-Pakistan conflict, with its foreign ministry claiming ignorance of J-10C involvement, masks its strategic interest in prolonging tensions. By fostering instability through Bangladesh and Pakistan, China undermines India's global aspirations, positioning itself as the dominant regional power. This calculated manoeuvring, exploiting Yunus's ambitions and Pakistan's hostility, creates a formidable challenge for India's security and diplomatic strategy. The author teaches journalism at St Xavier's College (autonomous), Kolkata. His handle on X is @sayantan_gh. Views expressed in the above piece are personal and solely those of the author. They do not necessarily reflect News18's views. tags : bangladesh China Muhammad Yunus Operation Sindoor pakistan Location : Kolkata, India, India First Published: June 05, 2025, 03:17 IST News opinion Opinion | Yunus, Army, Pakistan, And China: A New Axis Threatens India's Security
Mint
2 hours ago
- Mint
Trump administration signals it will slash funds for long-delayed California high-speed rail project
LOS ANGELES — The Trump administration signaled Wednesday that it intends to cut off federal funding for a long-delayed California high-speed rail project plagued by multibillion-dollar cost overruns, following the release of a scathing federal report that concluded there is 'no viable path' to complete even a partial section of the line. Voters first authorized $10 billion in borrowed funds in 2008 to cover about a third of the estimated cost, with a promise the train would be up and running by 2020. Five years beyond that deadline, no tracks have been laid and its estimated price tag has ballooned to over $100 billion. In a letter to the California High-Speed Rail Authority, which oversees the project, Federal Railroad Administration acting Administrator Drew Feeley wrote that what was envisioned as an 800-mile system connecting the state's major cities has been reduced to a blueprint for 'a 119-mile track to nowhere.' After a $4 billion federal investment, the California agency 'has conned the taxpayer ... with no viable plan to deliver even that partial segment on time,' Feeley wrote. State officials defended what's known as the nation's largest infrastructure project and said they remain committed to construction, though it's not clear what funding would replace the federal support if it's withdrawn. Feeley noted the FRA could seek repayment of the federal funds but is not proposing to claw back those dollars at this time. Carol Dahmen, the state authority's chief of strategic communications, said in a statement that the federal conclusions are misguided and 'do not reflect the substantial progress made to deliver high-speed rail in California.' Dahmen noted that the majority of the funding for the line has been provided by the state and that Democratic Gov. Gavin Newsom's budget proposal would extend at least $1 billion a year for 20 years to complete an initial segment of the line. State officials are focused on a stretch connecting the Central Valley cities of Bakersfield and Merced, which is set to be operating by 2033. The state agency has about a month to formally respond to the FRA, after which the grants could be terminated. State Sen. Tony Strickland, a Republican from Huntington Beach who is vice chair of the Transportation Committee, said that 'commonsense has prevailed" and urged the Legislature's dominant Democrats to redirect the funds from the rail line to lowering gas prices or investing in viable construction projects. 'Let's stop wasting California's hard-earned taxpayer dollars,' Strickland said. There is no known source for the billions of dollars that would be needed to complete the line. California High-Speed Rail Authority CEO Ian Choudri suggested in April that private investors could step in and fill the funding gap for the project that promised nonstop rail service between San Francisco and Los Angeles in under three hours. At the time, he acknowledged that even if funding is secured, it might take nearly two more decades to complete most of that segment. President Donald Trump said in May that his administration will not continue to fund the line. 'That train is the worst cost overrun I've ever seen,' Trump told reporters at the time, calling it "totally out of control.' This article was generated from an automated news agency feed without modifications to text.
Mint
2 hours ago
- Mint
‘KILL the BILL': Elon Musk yet again explodes over Donald Trump's tax bill
lon Musk yet again launched a scathing attack on President Donald Trump's tax and spending bill on Wednesday (June 4), urging Americans to pressure their lawmakers to "kill" it. 'Call your Senator, Call your Congressman, Bankrupting America is NOT ok! KILL the BILL,' Musk wrote on X, formerly Twitter. In a previous post, Musk called for a complete rewrite of the bill: 'A new spending bill should be drafted that doesn't massively grow the deficit and increase the debt ceiling by 5 TRILLION DOLLARS.' 'This immense level of overspending will drive America into debt slavery!' In a post on June 4, Musk accused Republican House members of betraying fiscal conservatism and blamed the bill for expanding the national deficit. 'I'm sorry, but I just can't stand it anymore,' he posted. 'This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination,' Musk wrote in a previous post. 'Shame on those who voted for it: you know you did wrong.' Elon Musk also on May 28 voiced strong criticism of the so-called 'Big Beautiful Bill,' warning that it could worsen the federal deficit and undermine cost-cutting efforts led by the Department of Government Efficiency (DOGE). In an interview with CBS, Musk said he was 'disappointed' by the tax and spending bill, which narrowly passed the House and is now pending a Senate vote. 'I think a bill can be big or it could be beautiful. But I don't know if it could be both,' Musk remarked in a preview clip posted online. He added, 'It increases the budget deficit and undermines the work that the DOGE team is doing.' Despite Musk's sharp rebuke, President Trump remains firmly behind the legislation. 'Passing THE ONE, BIG, BEAUTIFUL BILL is a Historic Opportunity to turn our Country around,' Trump said in a social media post earlier. He's pushing for the Senate to pass the measure before July 4. White House Press Secretary Karoline Leavitt brushed off Musk's comments. 'The President already knows where Elon Musk stood on this bill. It doesn't change the president's opinion. This is one big, beautiful bill and he's sticking to it,' she told reporters. The proposed bill, which has cleared the House and is now being debated in the Senate, includes major rollbacks to Biden-era subsidies for electric vehicles and clean energy — programs that benefit Tesla. It also slashes safety-net spending, while adding an estimated $2.5 trillion to the deficit over 10 years. Musk's vocal opposition comes just days after he ended his four-month stint leading DOGE, a Trump administration initiative to reduce federal spending. His brief tenure was marked by controversy and reportedly coincided with a dip in Tesla EV sales. On May 29, Musk officially confirmed his departure on X: 'As my scheduled time as a Special Government Employee comes to an end, I would like to thank President @realDonaldTrump for the opportunity to reduce wasteful spending.' Trump hosted a farewell at the White House on May 30, publicly thanking Musk: 'He's done a fantastic job,' Trump said at a joint press conference. The tech billionaire, once seen as a key Trump ally, appears to be distancing himself from politics. Speaking at the Qatar Economic Forum on May 20, Musk said he planned to reduce his political spending. 'I'm going to do a lot less in the future,' he said.
