According to Wang Hong, the general manager of Jiangxi Province-based Chinese steel producer Xinyu Iron and Steel Co., Ltd (Xinyu Steel), the Jiangxi provincial government has released a notice on electricity rationing, noting that steel facilities in the province should reduce electricity consumption by 10 percent in the coming summer season. Mr. Wang said that, accordingly, the steel production of Xinyu Steel will likely fall by around five percent during the summer.
Citing the example of Zhejiang Province-based Ningbo Iron and Steel, Mr. Wang said that this company's steel output has already fallen by five percent under the impact of rationing of electricity.