China arrests another steel exec: report

Australian mining companies are continuing normal operations in China, amid reports
another man linked to iron ore negotiations has been detained by the authorities.
Tan Yixin from the Shougang Corp steel maker was picked up by numerous police on
July 7, Chinese media reported on Thursday.
"According to an insider, Tan Yixin was taken away on his way to work by about five
or six police vehicles," the Chinese-language 21st Century Business Herald said.
News of Mr Tan's detention comes after confirmation of the arrests of four Rio Tinto
Ltd employees for allegedly spying, including Australian man Stern Hu who is
reportedly a friend of Mr Tan.
It is understood the other Rio Tinto employees being held with Mr Hu are Chinese
nationals Liu Caikui, Wang Yong and Ge Minqiang.
China foreign ministry spokesman Qin Gang told reporters on Thursday there was
evidence against the four Rio Tinto employees, including Mr Hu, Rio Tinto's general
manager in Shanghai.
"Competent authorities have sufficient evidence to prove that they have stolen state
secrets and have caused huge loss to China's economic interest and security," Mr Qin
told reporters, Agence France Press reported.
Despite these events, Australian mining companies operating in China said on
Thursday they were unaffected.
Sino Gold Mining Ltd, which has a large presence in China and 1,500 staff, said the
detention of Mr Hu was not a major concern at present.
"It is not a concern to us currently," investor relations manager Roger Howe said.
Mining giant BHP Billiton Ltd, also engaged in iron ore negotiations, said it was
"business as usual" for dozens of its employees at its Shanghai office.
Rio Tinto's Chinese operations appear to have been little affected by the detention
of Mr Wu and his colleagues.
The China Daily reported trading at Rio Tinto's office in Shanghai appeared normal,
although journalists attending the building were told not to take pictures.
It remains unclear whether the detention of Mr Tan is connected to the case of the
four Rio Tinto employees who were taken into custody on Sunday.
The China Daily news quoted insiders who said Mr Tan knew Mr Hu.
"In April, Stern Hu went to Shougang Group to negotiate the price of iron ore," the
newspaper said.
"Shougang Group denied all links with Rio Tinto saying it knows nothing about Tan's
detention," it said.
It is believed Mr Hu was not directly involved in iron ore contract negotiations but
acted as an adviser to the company's negotiating team.
Iron ore contract negotiations between Rio Tinto and its biggest customers in China
have been particularly drawn out this year, extending beyond a June 30 deadline for
the first time.
There has been speculation the arrest of the Rio Tinto employees may relate to a
failed bid by a Chinese state-owned company to take a big stake in Rio Tinto.
Last month the Aluminium Corporation of China (Chinalco) was forced to abandon plans
to take a $US19.5 billion ($A25.03 billion) stake in Rio Tinto, the world's second
largest iron ore miner.
In other developments, the Australian government on Thursday demanded the opposition
discipline Nationals senator Barnaby Joyce.
The move followed claims from Senator Joyce linking the failed Chinalco deal with Mr
Hu's arrest.
Australian diplomats will be allowed to visit Mr Hu in China on Friday.
Rio Tinto has described the spying claims as "surprising".