Following the "Emergency Circular on the implementation of enhanced Emergency Control measures in key areas" issued by the Office of the leading Group for the Prevention and Control of Air pollution in Wu'an City on 21 June, on 30 June, Wu'an City once again issued the interim Circular on differential Control of Iron and Steel, Coking and cement Industries in July 2019, which formulated interim measures for differential control of iron and steel, coking and cement industries in July. And 14 iron and steel enterprises under the jurisdiction of the stop production equipment specific provisions, according to SMM investigation, some steel mills have implemented production restriction measures in accordance with the documents.
According to SMM statistics, the hot metal output of blast furnace equipment in Handan is 95200 tons per day, the operating rate of blast furnace in June is 84.55 percent, and the actual output is 82200 tons per day. The Wu'an production limit involves 15 sintering seats and 14 blast furnaces. If all enterprises are strictly carried out in accordance with the documents, it is estimated that 2.1979 million tons of sintering output and 809100 tons of pig iron output will be affected, and 1.3917 million tons of iron ore demand will be affected. Hot metal production is expected to be 69100 tons per day in July, of which hot metal production is 13100 tons per day lower than in June, affecting ore demand by 22600 tons per day compared with June.
Since late June, Tangshan, Anyang, and Wu'an have issued clear production restriction lists, and Shanxi Province is also "ready to move." among them, starting from today in Shanxi Province, the Provincial rectification and Reform Office will organize a 100-day clean-up campaign for illegal sewage discharge in the province, and set up 11 cross-inspection groups, focusing on the central environmental protection inspectors and "looking back" feedback issues to rectify and clean up the "ten zeros." Starting from August, the eco-environmental protection and supervision of Shanxi Province will be carried out in 11 cities in an all-round way. Jiangsu Province has also proposed that enterprises that have not yet completed ultra-low emissions will be controlled. If the scope of strict environmental protection and production restrictions continues to expand, the upward road to steel prices will be difficult to stop!