China’s Ministry of Finance, Ministry of Commerce and Ministry of Industry and Information Technology announced that China’s rural subsidy program for home appliance sales in the countryside will expire by the end of January 2013.
Steel demand in home appliances is expected to decrease by 2.55 million mt after the policy that encourages home appliance consumption becomes void.
During 2011, cold rolled sheet, hot dipped galvanized sheet, color-coated sheet and silicon steel, accounted for 83 percent of steel utilized in home appliances.
In addition, in 2011, total steel demand in home appliances industry amounted to 8.5 million mt, increasing from 5.3 million mt in 2005, with 65 percent of home appliances consumption being driven by the policy in question, which came into effect in 2007 in 14 Chinese provinces, covering all the provinces by 2009.