Chinese government takes certain measures for metcoke industry
Chinese government has reportedly warned metcoke producers in the country against the rising investments. As reported by SteelOrbis, Chinese government previously took certain measures to reduce investments in steel and real estate sectors. As there is imbalance between metcoke supply and demand, the government has implemented certain restrictions on metcoke exports. Most recent measure taken was lifting of rebates for metcoke and coking coal to reduce exports. In recent times, investments in metcoke industry have increased and Industrial Policy Department of National Development and Reform Commission approved the suspension of investments in metcoke industry. Moreover, strict procedures for new entrepreneurs will be implemented in the next two months. Metcoke production capacity in China is expected to reach 260 million tons by 2005. This situation is stated to be risky as steel demand has started falling down.