CISA not in favor of elimination of all mills which are in violation of regulations

Thursday, 05 August 2010 17:52:46 (GMT+2)

Luo Bingsheng, vice president of the China Iron and Steel Association (CISA), has said that the CISA does not agree with the elimination of all steel mills in China which are in violation of official regulation and guidelines, which together have an aggregate output capacity of 300 million mt.

On Dec 9, 2009, China's Ministry of Industry and Information Technology (MIIT) published a file entitled, ‘Steel industry operation requirements and management measures' On July 13 this year, the CISA published a file called ‘Regulations about steel industry operation requirments'. According to the two files, two thirds of Chinese mills will be eliminated.

Mr. Luo said many of the mills lack required documents due to historical reasons. He said some mills may not have approval from China's State Council or national ministries, but have provincial government approval, and so these cases should be treated differently.

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