Hebei Steel Group, the largest steel producer in China, has received approval for a 42.4 billion yuan ($ 6.2 billion) project, which will reduce its steel production capacity by almost 2 million tons by upgrading old technologies.
China, the world's largest steel producer and consumer, is reforming its steel and coal industries in an effort to tackle air pollution and cut excess production that has affected domestic and global prices.
The Development and Reform Commission of Hebei, China's largest steel province, has approved a project for four divisions of the Hebei Steel Group. Two units, subsidiaries of Hesteel Co Ltd and Xuansteel Co, have pledged to phase out steel capacity by 9.34 million tonnes.
Xuansteel will build four new blast furnaces and five new converters with a combined pig iron and steel capacity of 7.32 million tonnes and 7.47 million tonnes, respectively.
Hebei is home to 104 factories, accounting for nearly a quarter of China's total steel production. The province has pledged to cut steel and pig iron production capacity by 31.17 million tonnes by 2017 and 49.13 million tonnes by 2020.
China plans to close 100-150 million tonnes of annual steel production capacity over the period 2016-2020.
China's Hebei Steel Gets Approval for $ 6 Billion Modernization Project
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Azovpromstal® 22 March 2017 г. 12:03 |
