MB GALVANIZED ABU DHABI: China's output cuts 'only benefit state-owned mills'

State-owned steelmakers in China benefit from capacity reductions and related price rises, while other mills face new challenges from the same situation, according to Gorkem Bolaca, managing director of Galex Steel International.

“Last summer, pretty much every steel mill in the world was making losses. Now the situation has completely changed – and the change is coming from China itself,” Bolaca told delegates at Metal Bulletin’s Galvanizing & Coil Coating Conference in Abu Dhabi, UAE, on Tuesday September 12.
“The [Chinese] state makes it a priority to improve the balance sheets of its steelmakers. In other words, Beijing supports not only the steel mills but the whole steel industry [by deciding to reduce capacities],” Bolaca said.

China had reduced its crude steel capacity by more than 58 million tonnes by the end of June, exceeding the goal for...

Published

Maria Tanatar

September 13, 2017

13:08 GMT

Abu Dhabi