OECD members to discuss global overcapacity problem

OECD members to discuss global overcapacity problem

The Organisation for Economic Corporation and Development (OECD) members will hold a high level meeting still within this month in order to discuss the global over capacity problem and the possible solutions to cut it down. In the meeting, most of the steel producing countries of the world will take part. The discussions in this respect were initiated 15 months ago and representatives from 39 steel producing countries held several meetings in Paris since then, with the purpose of finding solutions to the social and environmental costs of plant closures, one of the requirements of cutting down the approximately 130 million tons of the world's excess production capacity. Another important objective is to eliminate, or at least limit the government subsidies. Chinese delegation will be present during the meetings to be held during December 18-19, as their first time. There is a general inclination to transfer most of the issues to the World Trade Organisation (WTO) however; the aforementioned issues will not be left without discussion in the OECD meetings.