International Herald Tribune
Xu Zhongbo makes no attempt to hide his satisfaction as he forecasts the demise of hundreds of China’s small, heavily polluting and inefficient steel mills.
Many of these smaller, privately owned mills were hastily built in the last five years to cash in on soaring demand for steel from China’s booming construction sector. But their slim profit margins and poor technology meant that they were unlikely to survive as competition intensified.
Domestic steel prices are now beginning to fall, and this will accelerate a shake-up in the world’s biggest but deeply fragmented steel industry.