On November 16, Chinese steel producer Chongqing Iron & Steel Co. (Chongqing Steel), a listed subsidiary of Chongqing Steel Group, announced that the Chongqing municipal government agreed to give a financial subsidy of RMB 99.95 million ($15.69 million) to the company. In particular, RMB 61.16 million ($9.60 million) will be used to meet some of the company’s financial costs, while RMB 38.79 million ($6.09 million) will be invested in the company’s environmental costs.
In addition, Chongqing Steel received a financial subsidy of RMB 51.80 million from the municipal government ten days ago, to pay loans for the company’s environmental relocation project.
In the January-September period of the current year, Chongqing Steel registered a net loss of RMB 3.2 billion ($0.50 billion), while the subsidies in question are small in comparison.