USEUROPEAFRICAASIA中文双语FrançaisHOMECHINAWORLDBUSINESSLIFESTYLECULTURETRAVELWATCHTHISSPORTSOPINIONREGIONALFORUMNEWSPAPERChina Daily PDFChina Daily E-paperMOBILEBusinessMacroCompaniesIndustriesTechnologyMotoringChina DataFinanceTop 10Home / Business / IndustriesSteel consumption to rise 7.7% this year
By Zuo Shuo | China Daily | Updated:2017-12-05 07:18Workers at a steel plant in Luoyang, Henan province. [Photo by Huang Zhengwei/For China Daily]The nations steel consumption is expected to rise 7.7 percent to 725 million metric tons this year amid an improving economy and better performance of major steel consumers, an industry research and planning institute said on Monday.The countrys steel demand will grow by 0.7 percent to 730 million tons in 2018, said a report from the China Metallurgical Industry Planning and Research Institute.Chinas crude steel output will increase 3 percent year-on-year to 832 million tons in 2017, and by a further 0.7 percent to 838 million tons next year.Iron ore demand in the worlds top buyer is expected to rise 1.3 percent to 1.122 billion tons in 2017 from last year and drop 0.2 percent to 1.12 billion tons in 2018.Major steel consumers including real estate construction, machinery, automobile, energy and shipbuilding will be the main contributors to the countrys rising steel demand next year.Real estate construction will remain the biggest consumer of steel products in 2018, with demand amounting to 388 million tons, up by 0.3 percent from this year which is estimated at 387 million tons.The machinery industry comes second with 138 million tons of expected steel demand in 2018, up by 1.5 percent year-on-year, followed by the automobile industry with 59.5 million tons, and energy with 32.5 million tons.Li Xinchuang, president of the institute, said that China will continue to cut outdated steel capacity and manufacture more green and high-quality steel products next year.”Chinas steel manufacturing infrastructure is the most advanced in the world. The small and unregulated steel mills, which are producing substandard steel with high pollution, should be eliminated,” Li said.”The steel enterprises should increase their investment in research and development as well as environmental protection to maintain their competitiveness in the world,” Li added.Earlier this year, the National Development and Reform Commission, the countrys top economic planner, set a timeline to phase out production of low-quality steel made from scrap metal, or ditiaogang, before the end of June.Authorities have sent 12 inspection groups to some areas including Hebei, Henan and Heilongjiang provinces, and the Guangxi Zhuang autonomous region to oversee the move, according to Lin Nianxiu, deputy head of the NDRC.China plans to reduce crude steel output by 100 to 150 million tons by 2020.More than 65 million tons of steel production capacity was phased out in 2016, beating the annual target. The country met the 2017 capacity reduction goal of 50 million tons by the end of August this year.In 2016, the central government spent over 30 billion yuan ($4.53 billion) helping 726,000 workers made redundant in the steel and coal industries to find new jobs. The number of workers to receive aid this year is estimated at 500,000.Related StoriesMan of steel backs cutting-edge technologyChina calls for more global cooperation in addressing steel overcapacityChinas steel prices to stabilize in 2018: industry groupWhy Chinas massive steel lay-offs will not hurt economyShareholder contribution dispute between Benxi-based Beifang Coal Chemical Co, Ltd, Panhai International Co, Ltd and Taipei Steel Group Co, LtdPhotoTop 10 richest Chinese women in 2017World leading internet sci-tech achievements released in WuzhenTop tech CEOs take to the stage as Wuzhen Summit opensMajor topics at 4th World Internet ConferenceMade in China dinosaurs amuse the worldRiver town of Wuzhen ready for 4th World Internet ConferenceMost Viewed in 24 HoursState Council NewsVAT reform now solid tax policyVAT reform now solid tax policyTop 10Top 10 richest Chinese women in 2017Editors picksChina to build information infrastructure projectsWealth inheritors: less materialisticChina DataCyber China: The story so farQ&A With CEOSights and sounds of the future3D caught in sharp focusSpecial2017 Summer DavosChinas Q1 economic dataBACK TO THE TOPHOMECHINAWORLDBUSINESSLIFESTYLECULTURETRAVELWATCHTHISSPORTSOPINIONREGIONALFORUMNEWSPAPERChina Daily PDFChina Daily E-paperMOBILECopyright 1995 -var oTime = new Date();
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