chinese way or no way at all, page-2

"It seems as if the Chinese can't get a bargain they will lock you up for it."

I hope this is all sorted out for the four RIO employees and other Chinese currently under arrest in China. Given that this is China, and the nature of the charges, then families of these people must be very concerned.

I think this must call in to question this whole issue of determining prices by negotiating benchmark prices annually or semi-annually. The whole exercise seems to create a lot of brinkmanship and animosity as part of the negotiation phase and a loss of faith on both side when the final price is negotiated. I cannot see why all the iron ore cannot be sold on the spot markets like oil is, with different types of quotes for different types/grades of ore. Under these sales no side feels slighted when they have to agree to a price they don'y like. It just buyers competing with sellers with the price determine by competion.

My prayers are with those arrested and hope the Australian Government gives then all the assistance they need.

Regards

SP