Program designed to cut power in China, only makes them more
Reports over the past 2016 in China had exceeded the plan’s cuts in capacity. Towards the end of last year, the government announced that the steel industry was produced reform. The estimated number of reduced capacity was not less than 85 million tons. But at the same time, the potentials of metallurgy jumped up sharply. By comparing the estimates with 2015, the increase amounted to more than thirty-five percent. The information was published in the American media, with reference to the company Castille.
According to the journalists, «reduction» are zaporoshennye the eyes of Western citizens. More than three quarters of abolished facilities were not in working condition. In addition, according to some, a large proportion of enterprises returned to work. Another part has changed the old equipment to a modernized and continued his work.
As a result, the production grew by percent. Over the past year this percentage was not less than eight hundred million tons. The information was filed by the National Bureau of Statistics of China.
Despite this, according to experts, the emergence of such new facilities was not unexpected. And, even taking this fact into consideration, China should be commended. Due to the fact that there still launched the elimination of excess capacity.
In 2k16 year launched a major pan-national preeminent Araratian a program to reduce capacity. The government plans to dispose of a hundred and fifty million tons of capacity. So the metallurgists was issued a prohibition to expand the steel industry.
Pushed to such measures of protection from cheap steel from China to other countries. For several years now, China holds the world championship on manufacture of steel. This was the reason for the global steel crisis, in which local production had problems from the dumping. About China it has conducted a number of anti-dumping campaign over the past year. As a result, the US imposed huge duties on most Chinese products. The election of the President of the United States trump was built on the agony with products from China.
Nevertheless, many analysts continue to believe that cuts in capacity in China does not give any results. But at the end of last year there was a revival of the world metallurgies market.