Xuzhou steel mills to resume production in early June at earliest

SHANGHAI, May 22 (SMM) – Steel mills in Xuzhou, Jiangsu province, are likely to resume operations in early June, at the soonest, as many steel mills there recently received notices for the application of the recovery process, SMM learned. 

The notices, issues by the provincial government, indicates that mills can undertake checks on certain dates after they submit an application for checks. Since April 11, steel mills across Xuzhou have been suspended for rectifications and cannot resume production unless they pass checks conducted by the environmental inspection team. The dates of the checks remain unclear.

Some mills are targeting to complete rectifications by the end of May and receive approval to resume production in early June, SMM learned.

A steel mill expects to complete rectifications around May 27, and to undertake checks around May 30 so that it can resume production at the start of June. Another mill has already completed rectifications and gave its workers time off till May 30. It has not received notification of a date for checks.

The Shanghai Cooperation Organisation (SCO) summit in Qingdao is likely to affect production recovery. Steel mills may not be able to resume production until the summit ends on June 20.

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