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Shoddy steel products targeted
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CHINA will launch an inspection on shoddy steel products and excess steel capacity from May to June, according to the nation’s top economic planner.
The inspection aims to prevent steel companies from breaking a ban on low-quality steel made from scrap metal or restoring excess capacity that has been eliminated, said Shui Hengyong, an official with the National Development and Reform Commission.
The inspection will be organized by an inter-ministerial mechanism, which has staff from 25 government agencies and industry associations.
China plans to cut ineffective steel capacity by 30 million tons this year.
Government efforts will be focused on disposing of “zombie firms” in the industry this year, Shui told a forum on Saturday.
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