SHANGHAI, Feb 19 (SMM) – Echeng Iron & Steel, under one of China's major steelmakers Wuhan Iron & Steel Group, will replace its steelmaking capacity quotas of 1.36 million mt with a new converter of 120 mt, totalling steelmaking capacity of 1.35 million mt. This was according to a public notice on the website of the Department of Economy and Information Technology of Hubei Province on January 14, as part of the efforts to rein in excess production.
The capacity replacement quotasinclulded eliminated capacity of some 1.1 million mt at the plant, which are two obsolete converters of 35 mt, and 260,000 mt of quotas received from Shanghai Baosteel Stainless Steel.
Construction of the new capacity commenced in January, and production is expected by March 2020.
