August 10,
The Ministry of Industry & Information Technology, China has ordered more than 2,000 companies in 18 industries including Cement, Coking Coal, Iron, Paper and Dyeing to shut outdated manufacturing capacity by the end of September.
The factories targeted for closure are either highly polluting, highly energy-wasting, or did not meet safety requirements.
The companies affected by the latest curbs include the parent company of Guangxi-based Liuzhou Iron and Steel and a cement-making unit of Jilin Yatai (Group) Co which is based in the northeast of the country.
Firms that fail to comply with the orders could face penalties including having their sewage treatment licenses revoked, lending curbs, or even having their business licenses withdrawn.
In a parallel initiative, the industry ministry is working to consolidate the steel sector by closing small mills and raising production standards by focusing on shutting mills that produce less than 1 million tonnes of crude steel or 300,000 tonnes of higher-end steel a year.
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