In the face of the industry-wide losses, China’s largest steel mills have initiated plans to increase investment on research and development of high performance steels in a bid to tide over the present difficulties of low prices for commodity steels.
The China Iron and Steel Association (CISA), the Chinese Society for Metals (CSM) and ten of the large steelmills signed a cooperation agreement on Sept. 12 to develop high-end steels used in railways. Off-shore engineering, new energy equipment manufacturing and other high-tech fields.
Recently the National Development and Reform Commission (NDRC), China’s top economic planner, accelerated its approval of infrastructure and railway construction projects which helped drive up the price of steel after a long decline.
Against the background of slowing investment in property, alternative projects such as road and railway construction will play an increasingly important role in steel consumption in the future.
Source: China Metals e-mail email@example.com