Henan to ban new steel, aluminium capacity through end-2020

Published: Dec 27, 2018 11:06 (GMT+8)

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The government also urged the merger of local steel plants into two integrated companies

SHANGHAI, Dec 27 (SMM) – Henan province urged the merger of local steel plants into two integrated companies, and banned any new or expanded capacity for steel, primary aluminium production through the end of 2020 to tackle overcapacity problems. This was according to an anti-pollution action plan issued by the Henan government on Wednesday December 26.

The government also aimed to eliminate outdated and substandard capacity in the industrial sectors by the end of 2020.

According to the action plan, the energy consumption ratio of enterprises above a designated size in the province will be lowered by at least 23% from 2015, by the end of 2020. Water consumption should be cut by more than 25%. Emission of volatile organic compounds (VOCs) should be reduced by over 10% during the same period.

Henan is home to dozens of large-sized steel plants, such as Jiyuan Iron & Steel, Anyang Iron & Steel, and Wuyang Iron & Steel.

Market commentary Environmental protection drive

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