Xinchuang Li, deputy secretary general of the China Iron and Steel Association (CISA), has stated that the issue of overcapacity in China's steel industry has become very serious, while adding that slow economic growth and economic restructuring in China have both affected the development of the Chinese steel industry negatively, as reported by the CISA. Furthermore, in 2014 China's iron ore import volume is expected to total 870 million mt, up six percent year on year, with a drop of four percentage points compared to the growth rate in 2013, Mr. Li stated.
The CISA official also said that, while restructuring in the steel industry has led to the elimination of outdated capacity, demand from the construction industry in medium-sized and small towns in China could also support the development of the domestic steel industry. In 2014, China's crude steel output is expected to reach 815 million mt, up about three percent year on year, constituting a record-high output volume, Mr. Li said.
