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Second Thoughts; China's too-hot economy is prompting firms to look elsewhere to invest.(Cover Story)
Byline: George Wehrfritz (With Jonathan Adams in Taipei and B. J. Lee in Seoul)
Steel is the measure of an industrial economy. Or so thought Chairman Mao when, to achieve his utopian Great Leap Forward in 1958, he ordered the masses to quit their communal fields and instead melt woks and teakettles to forge pig iron in farmyard blast furnaces. The man-made famine that followed killed millions.
Today a sequel of sorts is unfolding--but it's a crisis of plenty, not want. China has built so many steel foundries in recent years that it is poised to flood global markets. Its current output, a world-leading 350 million tons, already satisfies domestic demand. ...
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