Baosteel to cut excess steel capacity by 9.20 million mt in 2016-18

Shanghai-based Chinese steel producer Baosteel Group Corporation (Baosteel Group) has announced that its plan to reduce its steel capacity been approved by China’s State-owned Assets Supervision and Administration Commission (SASAC). Accordingly, Baosteel Group will cut excess steel capacity by 9.20 million mt during the 2016-2018 period to push forward supply-side reform and accelerate the company’s transformation and upgrading, as stated by the company.

 

In particular, the Luojing plant of Baosteel subsidiary Baoshan Iron & Steel Co. will shut down three 150 mt converters, while Baosteel Special Steel Co. will shut down one 100 mt electric furnace, both by the end of this year.