CHINA SAYS THAT IS MAKING EFFORTS TO REDUCE EXCESS STEEL PRODUCTION

China is making efforts to reduce excess steel production capacities and step up to propel the industry upgrade, according to an official with the Ministry of Industry and Information Technology .

Some companies believe that output capacity reduction and mergers and restructuring will be trends in industrial structure optimization.

China had eliminated ironmaking and steelmaking capacities by about 90 million tons respectively and had eliminated backward capacities like furnaces of 400 cubic meters or below from 2011 to 2015.

In fact, some companies have been cutting capacities on their own initiative. Hebei Iron and Steel Grouphas decided to further reduce ironmaking capacities and steelmaking capacities by 2.6 million tons and 5.02 million tons from 2016 to 2017 on the basis of previous capacity reduction.