SHANGHAI, May 6 (SMM) – While market talk suggested that steelmakers in Tangshan will face stricter output curbs in May, current restrictions mainly target sintering capacity and have impact on the operation of blast furnaces, an SMM survey found on Sunday May 5.
However, restrictions could expand to blast furnace capacity in the weeks ahead.
A steel mill in Caifeidian of Tangshan expected minimal impact from controls in May, as its output expanded after it commissioned a blast furnace of 5,500 m³ on April 27. Planned output of hot-rolled coil at the plant remained unchanged in May.
Output restrictions are likely to drive two steelmakers in Luanzhou of Tangshan into maintenance this month, SMM learned from local mills. While currently under normal operation, blast furnaces of a steel plant in Qian’an may also face maintenance if environmental curbs tighten.
A steelmaker in Kaiping district and another mill in Lubei district with high environmental ratings also received little impact from output restrictions and operated normally as of May 5.