Global 3000 # The Domino Effect -- How the Global Market Dictates Raw Material Prices # 30.03.2009

The global supply chain works by taking raw materials from one country and transporting them to another, where they are made into individual components. After these components have been taken to a third country for assembly, the next step is to move that finished product to yet another country, where it is put on sale. If manufacturing slows, that has an effect on each stage of the supply chain. Our report examines how a fall in demand for steel in Europe and China is effecting iron ore mining in Brazil.