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Eliminate backward production capacity of steel: looking forward to more effective measures [recommended]

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Wendy Zhu 
Asked at 2011.06.07 00:59:42
Eliminate backward production capacity of steel: looking forward to more effective measures [recommended]
answer Abe Douglas  Answered at 2011.06.07 00:59:42
Eliminate backward production capacity of steel: looking forward to more effective measures to [recommend] the National Development and Reform Commission recently released information, as of 7 at the end of this year, the national total elimination of outdated capacity of 11.4 million tons of ironmaking, steelmaking capacity of 8.7 million tons. Iron and steel industry out backward production capacity has achieved results. Although the authorities out of this year increased the intensity of backward steel production capacity, but in recent years, China's fixed asset investment growth has been in high demand of steel products, the international steel prices, exports and other factors unabated, to this year the end of achieving the elimination of backward iron smelting capacity of 3,000 tons of steel capacity of 3,500 tons of goals there are still some difficulties. Experts believe that in this case as soon as improving the exit mechanism behind the production is conducive to work in depth. China's steel industry, a large proportion of backward production capacity. According to the China Iron and Steel Association, at present the steel industry does not meet the industrial policy of backward iron smelting capacity of about 1 million tons, backward steel making capacity about 5500 tons. Small capacity, low efficiency and heavy pollution of the backward production capacity, equipment, unit energy consumption is usually higher than the 10% -15 large equipment,%, 7% -10% of high material consumption, water consumption is 1 times, 3 times higher sulfur dioxide emissions. Sustainable development of China's steel industry to realize the power of steel from iron and steel power to a change in 2005, the state promulgated the "Steel Industry Development Policy", on the elimination of backward production capacity put forward specific demands and proposed new productive capacity and the elimination of backward production capacity to the phase combination. However, the current situation, eliminate backward production capacity of the situation is not optimistic, some local small firm's output still on an upward trend. According to the China Iron and Steel Industry Association executive vice president Luo, this year in the first half, small concentration of iron and steel enterprises in Hebei, Jiangsu, Shandong and Henan provinces, crude steel production increased by 10,448,200 tons, 4,228,300 tons, 339. 43 million tons, 2.4495 million tons, the total increase of more than 2000 million tons, accounting for more than half of the first half of the increment. The national annual steel production of 21 companies with more than 500 million tons of total steel production compared with a decrease of 2.05 percentage points. On the elimination of backward production capacity is difficult, some experts, this was mainly due to domestic and international steel prices, the formation of backward production capacity is not the market pressure. In this case, the introduction of further measures to eliminate backward production capacity even more important. "The elimination of backward production capacity to take into the market, to set up steel projects and new combine to equal replacement." Technological innovation, Wuhan Iron and Steel Group Corporation, said Minister Wu Xinchun, "such as its commitment to new projects rather backward production capacity exit fees ", and increase of new projects" launched "costs. Luo suggested, can be adjusted this year's national steel industry policy of export tax rebate income 2.1 billion yuan, as the elimination of backward production capacity of special funds to the backward production capacity of enterprises to give employees a certain degree of compensation. Luo also reminds us that "small projects for the add, if the banks in accordance with the relevant provisions of industrial policy and does not give its loans, it tends to get stuck a small increase in the project." Relevant departments of Development and Reform Commission introduced the end of April this year, the State Council held the steel industry shutting down and eliminate backward production capacity of its meeting with the Development and Reform Commission of Hebei, Shanxi and other 10 major steel-producing provinces (autonomous regions and municipalities), signed the first batch of "iron and steel industry shut down and eliminate backward production capacity of letters of responsibility." The end of May, the deployment Development and Reform Commission, Tianjin, Inner Mongolia, 18 provinces (autonomous regions and municipalities) for the second batch of signed letters of responsibility. The next few months, the steel out of backward production capacity to take strict control of fixed asset investment, signed as soon as the second installment of "responsibility" to strengthen the guidance and supervision, improve the exit mechanism behind the production more effective measures.
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