Hebei to clear 'zombie firms' in steel sector
Global Times
1534830447000

North China's Hebei Province is strengthening efforts to promote industrial upgrading and transformation in the steel sector with the aim to cut capacity by more than 10 million tons by year-end, according to media reports.

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Photo: Xinhua

Hebei plans to clear out all "zombie firms" in the steel industry in 2018 and will continue to reduce another 10 million tons of steel production capacity in 2019, domestic news site thepaper.cn reported on Monday.

By 2020, the province will have cut around 20 million tons of steel, and steel capacity of the whole province by then will have been limited to 200 million tons, according to the report.

Hebei is the largest steel-producing province in China, accounting for about half of the nation's output. Many problems have gradually emerged over time due to intensified operations, the report said, noting that the local government has rolled out many measures to boost steel industrial adjustments and reform.