Related News
Home » Business » Manufacturing
Target set for steel oversupply cut by 2020
Print Edition
CHINA aims to enhance the competitiveness of its steel industry under a plan which will see up to 150 million tons of crude steel capacity cut and carbon emissions trimmed by 2020 while ensuring efficiency, the Ministry of Industry and Information Technology said yesterday.
China’s steel companies are struggling with net losses amid an oversupply and a dim outlook in demand growth, while the need for environmental protection is adding to the challenges, the ministry said.
Shrinking annual crude steel production by 100-150 million tons, China aims to limit its capacity to under 1 billion tons a year, down from 1.13 billion tons now.
Meanwhile domestic steel companies need to cut energy consumption by 10 percent and slash pollution by at least 15 percent during the coming five years.
China’s main domestic steel firms lost 64.5 billion yuan (US$9.4 billion) last year, saddled with debts above 70 percent of their assets.
If no corrections are taken, the companies would face further losses as demand continues to shrink. By 2020, the annual consumption of steel is estimated at 650-700 million tons, while the ideal annual production capacity should be at 750-800 million tons, the ministry said.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
