China's Hebei to cut 14 mln tpy of steel capacity, promote mergers in 2020

China’s Hebei province, the country’s largest steel-producing region, plans to cut its crude steel capacity by 14 million tonnes per year in 2020 and promote mergers and reorganization in the next three years to raise industry concentration and resource allocation efficiency.

The province will reduce its crude steel capacity to no more than 200 million tpy by the end of this year, according to a three-year plan released by its Development & Reform Commission last week.
“Steel production will not be influenced too much, because high utilization rates of existing facilities will make up for the loss capacity,” an industry analyst in Shanghai said.

“Also, some of the capacity earmarked for...

Published

Jessica Zong

July 21, 2020

07:22 GMT

Shanghai