2023-05-25 10:32:27 ET
BHP ( NYSE: BHP ) believes China's shaky property market will turn around in the coming months, despite gloomy economic signals that have weighed down iron ore and copper prices, chief commercial officer Vandita Pant told Bloomberg on Thursday.
Secondary sales in China's housing market are "very strong," according to Pant. "We always thought sales and completions of homes will turn around first, and then new starts."
Despite weaker than expected construction in China, particularly in the property sector, that has pushed iron ore and copper prices lower , Pant said BHP ( BHP ) still sees China's metals demand as "a source of stability in the second half, and the second half to be better than the first half," echoing the views CEO Mike Henry expressed in February.
China's economy will not feel the full tailwind of government stimulus measures introduced earlier this year until 2024, Pant also told Bloomberg .
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BHP foresees recovery in China property market raising metals demand