On March 6, Zhu Jimin, chairman of major Chinese steelmaker Shougang Group, stated that China's steel industry is currently undergoing a period of adjustment during which difficulties and opportunities exist side by side.
Among the difficulties facing the Chinese steel industry, Mr. Zhou included the lack of resolution in the international iron ore price talks, the rising prices of energy and raw materials in line with the recovery of the world economy, and the excess production capacities in China.
On the other hand, the Shougang Group chairman stated that many opportunities also exist for the domestic steel industry; for instance, the current positive performance of China's economy, the development of the domestic automotive and equipment manufacturing sectors, as well as the development of the high-speed rail sector. He stressed that these factors bring opportunities for high-end and efficient steel companies.