In 2020, the iron and steel industry will continue to strengthen the supply-side structural reforms and strictly prohibit overcapacity.

In recent five years, the steel industry keeps a stable operation and has had prosperous momentum while also remains some concerns like fast capacity releasing, a sharp increase of iron ore prices, high environmental pressure, etc.

In 2019, China’s crude steel capacity was expected to reach 980 million tons and totally increased176 million tons in the last five years with an annual increase of 21.9%. From 2005, the total loss of the iron industry reached 84.688 million yuan while the expected margin in 2019 will be up to 180 million yuan with the asset-liability ratio will have a decrease of 7.5%.

At present, the related association will support the government to learn the capacity and production of iron and steel industries to provide a database on scientific decisions. The government will take strict steps including dismantle substandard blast furnaces, obsolete backward techniques, etc.