Caterpillar, Eaton’s Fortunes at Whim of Chinese Demand

China has without doubt been the largest single driver of metal prices over the last ten years as the country’s phenomenal growth, much of it investment-led, has sucked in mind-boggling quantities of iron ore, coal, base metals and other commodities. At the same time, the wealth created by that growth has gradually permeated through Chinese society, resulting in a rising middle class keen and able to buy foreign-made products.

The investment in infrastructure has been the single-largest factor within China’s growth story when it comes to metals demand. Read the details of that growth, and its implications, in this article.