The Ministry of Industry and Information Technology said China has taken major steps to eliminate excess capacity since 2016, cutting steel production by more than 150 million tons.
Over the past four years, more than 140 million tons of substandard steel capacity has also been eliminated, said Huang Libin, a spokesman for the Ministry of Industry and Information Technology.
When steel prices recovered, some factories were brought in to rebuild the production of substandard steel products, which led to environmental pollution and threats to quality and safety.
In response, the government decisively cracked down on the production and sale of low-quality steel and retained tight control over steel production.
Over the past few years, China has shifted its economy from a heavy reliance on exports and investment to more domestic consumer demand, with the steel sector often cited as ripe for consolidation due to overcapacity.
The government will continue to step up inspections at steel mills this year to cut outdated and substandard manufacturing facilities to stimulate healthy development in the sector, Huang said.
China is taking serious steps to reduce excess capacity
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Azovpromstal® 28 January 2020 г. 12:10 |
