Chinese steelmakers to trim output in February

Published: Feb 3, 2020 11:05
Magang plans to cut production by about 20% in February, citing concerns about logistical issues

SHANGHAI, Feb 3 (SMM) – Some Chinese steelmakers have decided to curtail production amid the coronavirus outbreak.

The Anhui based Maanshan Iron & Steel (Magang) plans to cut production by about 20% in February, citing concerns about logistical issues.

In Shandong, Laigang Yongfeng suspended two production lines from January 30, one for bars and the other for wire and rods, to cut production by 25%.

Shiheng Special Steel on January 30 announced its production cut plan, which is likely to reduce production by 21% for February.

Rizhao Steel will put three wire and rods production lines under maintenance in turn, which is expected to affect daily rebar production of 2,000-2,200 mt.

Electric arc furnace (EAF) steelmakers including Chengdu Metallurgy and Luzhou Yixin, have announced that they will delay their resumption.

Mills in Shaanxi, Shanxi, Gansu and Sichuan also have agreed to cut daily production by a combined volume of 55,000 mt, which accounts for over 30% of the total production of the steelmaker group.

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