LINE

Text:AAAPrint
Business

China's steel prices to stabilize in 2018: industry group

1
2017-11-26 09:31:50Xinhua Li Yan ECNS App Download

China's steel prices will continue to firm up in 2018 as production and supply are becoming more balanced, according to a senior official at the China Iron and Steel Association (CISA).

"Prices are rising in 2017 due to government effort to close small mills that churn out low-quality steel made from scrap metal. As a result,a batch of money-losing producers begin to make profit," Gu Jianguo, deputy head of of CISA, told an industry forum on Friday.

"Prices have seen a reasonable rebound, while it is quite normal to see tight supply and price fluctuations during certain periods," he said.

Gu said that environmental checks would curb output in 2018 as new capacity was added, with demand and supply becoming balanced.

He said steel producers should speed up deleveraging, phasing out zombie firms, and disposing of assets after capacity cut.

China has been striving to close low-quality small mills, leading to decreased supply.

The crackdown on small low-end furnaces, which account for 4 percent of total steel output, comes as the government aims to cut excess capacity, tackle pollution and improve safety measures.

  

Related news

MorePhoto

Most popular in 24h

MoreTop news

MoreVideo

News
Politics
Business
Society
Culture
Military
Sci-tech
Entertainment
Sports
Odd
Features
Biz
Economy
Travel
Travel News
Travel Types
Events
Food
Hotel
Bar & Club
Architecture
Gallery
Photo
CNS Photo
Video
Video
Learning Chinese
Learn About China
Social Chinese
Business Chinese
Buzz Words
Bilingual
Resources
ECNS Wire
Special Coverage
Infographics
Voices
LINE
Back to top Links | About Us | Jobs | Contact Us | Privacy Policy
Copyright ©1999-2018 Chinanews.com. All rights reserved.
Reproduction in whole or in part without permission is prohibited.