It was revealed that the Department of Raw Material Industry of China's Ministry of Industry and Information Technology (MIIT) had a meeting on excessive equipment (production capacity) with representatives of steel companies across the country. The meeting was held on Jun 26. Approximately 40 representatives from steel companies all over the nation attended, discussing about (1) revitalization of iron ore exchange and rules for iron ore distribution, and (2) problems of excessive production capacity.|
It is said that China's steel industry has 900Mtpa crude steel production capacity. The issues on excessive capacity cause fiercer competition inside the country and have a great impact on stable securement of raw materials, iron ore, discouraging the whole industry from developing. MIIT intends to have a proper remedy in the future by deepening the mutual understanding through talks on these situations.