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May 27, 2016

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Iron, steel output to be cut further

THE government of north China’s Hebei Province, which produces a quarter of the nation’s steel, has raised its targets for cutting iron and steel production this year.

Iron production will be reduced by 17.3 million tons, up from a previous target of 10 million tons set in January. About 14.2 million tons of steel manufacturing will be phased out, up from an earlier target of 8 million tons, Governor Zhang Qingwei said yesterday.

The new targets came after heavy criticism from a central government environmental inspection group, which exposed more than 2,800 concerns.

Production-slashing responsibilities have been distributed among major cities, including Tangshan, Handan, Qinhuangdao and Langfang.

In April, steel prices picked up sharply, with the domestic steel price index gaining 11.29 points from March to 78.42, and 4.43 points from a year earlier. Many steel mills have resumed production.

Zhang said city and county governments must prevent heavily polluting equipment from operating again.

Production of steel, cement and glass has also been widely blamed for the worsening air pollution in Hebei.

The province previously said it will cut a combined 160 million tons of steel, cement and coal production, and another 36 million weight cases of glass by 2017.




 

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