Steel Production Increases even with Difficulties and Environmental Shutdowns
Hebei one of China’s top steel making province has produced 15.69 million tons of crude steel for the month of July up by 3.5 percent compared to the same period last year, thus defying deepening difficulties and the widespread environmental shutdowns that happened in the steel sector. For the first seven months Hebei produce 114.6 million tons of steel or up by 0.9 percent compared to last year and amount to 24 percent of the nation’s total.
Total steel production fell 4.6 percent or down to 65.84 million tons, which brought the daily rates down to its lowest level since November. Hebei is now under heavy pressure to undergo restructuring and clean up its economy and at the same time fight pollution while battling a slowdown in industrial demand. Hebei will also likely see more closures in August as Authorities are trying to control air quality before any events to be held in Beijing in early September that marks the 70th anniversary of the end of the Second World War. The province is aiming to cut down all emission by 30 percent before the start of any commemorations.
Earlier the Hebei Metallurgical Industry Association reported that a large number of steel processing plants are closing throughout the province due to weak prices and the newly added environmental compliance pressures. Around 26 blast furnace in the seel producing city of Tangshan also closed down from mid July, but its shutdown have little or almost no impact too the overall production of the province.