in China's embattled steel industry has declined for the tenth month in a row
despite its recent rebound in activity. The Purchasing Manager Index, which
measures activity in the sector, stood at 45.1 for February.
Any figure above 50 indicates expansion, while
below 50 suggests contraction.
An insider from a medium sized and privately
owned steel mill in Jiangsu accuses the government of ignoring the plight of
privately owned steel firms. The government is protecting state-owned enterprises
and offering them subsidies whenever they are making a loss.
The introduction of a new environmental law this
year will significantly increase the cost production by 13% or CNY 200 per
Source – Business Spectator