China punishes coal, steel companies in overcapacity cut drive
SHANGHAI – China has punished coal and steel companies for illegal production or unsafe operations as part of the government’s efforts to reduce industrial overcapacity.
Following safety checks at 4 624 coal mines, the regulator revoked the licences of 28 and halted production at 286, the National Development and Reform Commission said in a statement on its website. Thirty-three coal companies and seven steel mills were censured for illegal land use, while 54 coal firms were punished for unlawful mining, it said. A further 175 steel companies were found to have violated environmental standards.
The nation wants to eliminate outdated and inefficient producers in industries that are struggling with a glut of capacity in an effort to shift toward consumer-led growth and curb pollution. It’s seeking to reduce about 9% of its coal mining capacity and as much as 13% from steelmaking within five years.
The world’s largest coal producer has already urged State-owned miners to accelerate mine closures to meet year-end targets. China cut 150-million metric tons of coal capacity, meeting 60% of its annual target, at the end of August, Caixin reported, citing National Development and Reform Commission official Lu Junling.
The country’s steel industry was told in August to speed up closures after falling short of its target to cut 45-million tons of annual capacity this year. Only 21-million tons were closed by the end of July, the commission said. There hasn’t been much evidence of capacity cuts accelerating to date, Daniel Hynes, senior commodities strategist at Australia & New Zealand Banking Group, wrote in a report Thursday.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Our Easy Access Chute concept was developed to reduce the risks related to liner maintenance. Currently, replacing wear liners require that...
VISIT SHOWROOM
Rittal is a world leading provider of top-quality integrated systems for enclosures, power distribution, climate control, IT infrastructure and...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
