China Steelmaking Industry Lost About RMB 30 Billion Yens in 2012

2013-03-22

Chiao-Huei Sun, the deputy chief of the National Key Laboratories of China, said the steelmaking industry of China has been losing money because the steel production capacity in China has far exceeded the actual production output and the meager profits of the steelmaking industry has been eaten away by the expensive imported iron ore; in 2012, the steelmaking industry of China lost a total amount of RMB 28.92 billion yens (7.39 times increase as compared to the loss in 2011).

Factors that such loss may be attributable to may include the sluggish global economy, the sluggish economic condition in China, less demand for steel and the drop in steel price.