According to the Ministry of Industry and Information Technology (MIIT), China will strictly implement capacity replacement and prohibit additional new production capacity this year, further accelerating industry mergers and reorganizations and changing the disordered situation of the steel industry in some areas.
The Ministry pointed out that the risk of overcapacity in China's steel industry still exists. Therefore, it is necessary to promote the steady development of the steel industry and accelerate high-end, intelligent, and green development.
The China Iron and Steel Industry Association also said that the steel industry will focus on researching and promoting capacity management and joint restructuring this year.