China announced the start of a serious fight with steel is low quality
30 January 2017
It seems that the Chinese authorities intend to seriously fight against producers of low-quality steel in the country. Now the authorities will implement the project on creation of the twelve special inspection teams. They will be engaged in identifying and preparing for the closure of the steel mills, which produce low-grade steel. Mostly, it is the steel products produced from scrap.
In China this kind of steel has gained popularity, primarily because of its low cost.
The representative of the Commission on reforms and development Jianhu Lin said: «All production that produce poor quality products, will be closed by the middle of this summer.» According to Lin Jianchu, most of the enterprises for the production of steel products — a small company. Smelting takes place in small or medium size furnaces. But, essentially, they are ineffective, and moreover, pollute the environment.
Representatives of the government of China has officially expressed its rejection of low-quality steel products produced in the country. Officials have repeatedly talked about the revitalization of a compulsory stop of the enterprises that pollute the environment. Ecological environment of China is now in a catastrophic state. In order to maintain greater control over emissions, the government will use satellites. The Chinese authorities intend to reduce the existing metallurgical facilities.
In the future, the government is deliberately more careful approach to the study of projects of new enterprises. In addition, the authorities intend to support the companies during the merger. In the near future, a significant tightening of governmental control over the enterprises of ferrous metallurgy.
The overall share of low-quality steel is four percent of the total steel production in the country. The government is now implementing a four-year plan. By 2020, the number of produced raw steel should be reduced by 150 million tonnes. The plan can be implemented by reducing the forty-five million tons of capacity. While the implementation of the program ahead of planned schedule.
