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The production capacity of Hebei will be reduced by 2020

It is expected that by 2020, Hebei province will significantly reduce production capacity. We are talking about the steel sector. In the end, the reductions will amount to 200 million tons/year. About 60% of the enterprises of branch will be closed and reconstructed. These data were provided by the head of administration Zhang Qingwei. He said last year the income of the metallurgical sector of the province has reached a framerate of 29.97 billion yuan. In dollar terms, the indicator amounted to 4.6 billion USD. Regarding 2014, there has been a decrease in the level of 46.9%. It is expected that this year the province will reduce the production capacity of iron and 10 million tons/year. The planned decommissioning of 8 million tons of steelmaking capacity.

At the end of last year, the state Council of China decided to lower the national steelmaking capacity. For the past five years, the annual decline will amount to 100−150 million tons. It is assumed that the working places will be lost 500000 of metallurgists. However, the government expects to provide assistance to all victims. For this purpose the Fund was established, amounting to 15.3 billion USD. Last year steel production decreased by 2.3%. The level of production is reached 803,83 million tons.

While trade investigations against China continue to gain pace. Especially eager such methods demonstrates the United States. Recently initiated another antidumping investigation. It involves the import of stainless steel of various grades. The Ministry of Commerce of China show their concern. According to representatives, such checks cause negative consequences for the metallurgists of China. In this case infringed the interests of trading companies of the country. As stated by the Chinese authorities, the WTO rules against China, not followed properly. In this case, and the legal rights cannot be fully guaranteed. Representatives of the Ministry of Commerce of China expressed the hope that the past practice will be reviewed. Investigations should be conducted objectively and fairly.

In a statement the Ministry of China stated that excess capacity steel industry a global problem. It must be solved by coordinating the efforts of many parties. China has taken significant measures to reduce capacity. The government is counting on constructive dialogue and negotiations.

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