Steel Production Capacity Has Entered The Crucial Period

Steel Production Capacity Has Entered The Crucial Period

Date:May 19, 2017

     Development and Reform Commission, Ministry of Industry and Commerce, in conjunction with other inter-ministerial joint meeting member units, to strengthen co-ordination, pay close attention to the implementation of the task, to promote the development of the Commission, the CPC Central Committee and the State Council on resolving the excess capacity of the decision-making arrangements, Development and Reform Commission, The region to do a good job of the annual task objectives decomposition and focus on the implementation of the work. At present, this year the proposed reduction of iron and steel coal production capacity has been fully implemented to the relevant enterprises, equipment and mining, to work to achieve a good start.

     Up to now, this year the country out of steel production capacity of 31.7 million tons to complete the annual task of 63.4%; a total of 68.97 million tons out of coal production capacity to complete the annual task of 46%. It should be noted that the steel to the production capacity data does not include illegal "land steel" capacity. For the "land of steel", the region has basically completed thorough investigation work, investigation found that "the strip steel" production capacity has been discontinued, steel market order has been further improved. At present we are strengthening supervision and inspection to ensure that by June 30 before the complete ban on the "land of steel."

    In accordance with the deployment of the State Council, in January this year, the iron and steel industry to resolve the excess capacity and difficulties in the development of inter-ministerial joint meeting composed of 12 inspection teams, went to 30 provinces (autonomous regions and municipalities) and Xinjiang Production and Construction Corps to carry out special inspections, Check the 228 iron and steel enterprises, 150 coal mines.

     Meng Wei said that from the inspection situation, in 2016 the country out of 400 cubic meters and below the blast furnace 39, behind the iron production capacity of 6.77 million tons, 30 tons and below the converter and electric furnace 71, behind steel production capacity of 10.96 million tons. Closed about 300,000 tons below the size of the small coal mine about 1500, behind the coal production capacity of 120 million tons. 2016 iron and steel industry to eliminate backward production capacity of the special action found backward steel production capacity, has been demolished or sealed as required; should be closed and deadline out of class coal mines, has been implemented as required to close.

     Taking into account China's steel "to production capacity" has entered a new stage, the overall pressure to gradually ease the excess capacity, structural contradictions become increasingly prominent. To this end, Zhou Jianqi suggested that the future "to capacity" policy can dilute the "quantity" of the indicators, through strict environmental protection to eliminate non-compliance production capacity and inefficient production capacity; reference to international advanced practices, combined with advanced enterprises in China's emission technology level, further Improve the iron and steel enterprises in intensive areas and industrial-intensive areas of iron and steel enterprises, the main pollutant discharge standards; strengthen incentives to encourage iron and steel enterprises to achieve clean emissions.




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