Letter to the Ministry of iron and steel industry overcapacity beat 2 / 3 of steel prices or have been eliminated

An annual output of 1 million tons iron and steelthe establishment of product quality,
enterprises with annual sales of less than 30 billionenvironmental preservation, energy and
yuan, according to the current market price. Iscomprehensive utilization of resources, processes
undoubtedly of local employment, tax and regionaland equipment, the scale of production, safety,
GDP contribution of large, so the Department ofhealth and social responsibility 6 access conditions.
Public letter to the implementation of accessOne. 2008 Annual & Poor's steel output of 1
methods will involve the interests of localmillion tons of crude steel companies and over
governments, will have a difficult landing. In"effect of a one-vote veto. If an enterprise does
addition, industry sources, special steel market,not meet the other five access, you need to
the already narrow, wants the state to becondition the requirements of rectification, if the
treated differently, not in terms of sizerectification hopeless and then gradually withdraw
requirements "across the board"from iron and steel production.
Engineering Department began a letter publicityNot can not engage in steel production, the
"existing iron and steel enterprise production andMinistry of industry stakeholders to explain the
operation of access and management measures"letter, said: does not meet access conditions for
draft) to December 16 to seek revisions.enterprises. But the authorities will not approve
Exposure draft for the iron and steel enterprisesconstruction and renovation projects, issuance of
set six barriers to entry. Among them, Decemberemission permits, configure a new resource and
9, 2009. Only "2008 S & P steel crude steelland mines, and issue the license to produce and
production companies and over 1 million tons," Thisprovide credit support, issuing qualified iron ore
one, nearly a 2 / 3 of about 300 more than theimports, iron ore import enterprises will not be the
steel mill would be incompatible.supply of imported iron ore. For the workers of
On the elimination of backward productionthis letter to the Department of claim, the
capacity to do the whole, the operationalindustry explained that this is not deprived of
requirements. Hebei Iron and Steel is the country'sfood, do not give clothes to wear, do not give
largest province, which is the country's first to thesupport for the "
steel-making industries to implement accessSteel prices in line with access only 80-90 at
system. Wang Dayong, secretary general of thehome. Xu Xiangchun that the letter of the Ministry
province's metallurgical industry, said that althoughof Public sources. 2 / 3 Enterprise will be blocked
the nominal access method is not called "eliminateoutside of the entry threshold. Unable to meet
the backward" but than "eliminate the backward"entry conditions, companies will have to find their
measures worse.way out, or a combination, or merger by large
As the scale of production requirements, draftsteel enterprises.