Ferrous News Roundup

SHANGHAI, Apr 7 (SMM) — This is a roundup of news in the China ferrous sector for last week.

Steel mills in Tangshan downgraded for failure to comply with environmental protection requirements 

During the period of Level II emergency response to heavy pollution, Tangshan Steel Stainless Steel, Tangshan Jinma Iron & Steel, Tangshan Chunxing Special Steel and Tangshan Donghua Iron & Steel ran at high capacity, did not comply with emission reduction requirements and made false production records .

On March 29, the Department of Air Pollution Prevention and Control of Tangshan downgraded Tangshan Zongheng Group Fengnan Iron & Steel's performance level from Category B- to D, and simultaneously downgraded its coking performance to Category D. besides, Tangshan Ruifeng Iron & Steel, Hebei Tianzhu Iron & Steel, Hebei Donghai Special Steel were downgraded from C to D. 

Relevant municipal governments are required to revise and publicise the "one company, one policy" that complies with emergency emission reduction measures for heavily polluted weather and air quality safeguard measures in autumn and winter and report to the Municipal Atmosphere Office for the record before April. When emergency response to severely polluted weather is initiated again, emergency emission reduction measures shall be implemented according to Category D.

Phase I of Sishanling iron ore mine expected to be put into operation in June 2022

Jianlong Group and the Benxi Municipal Party Committee confirmed that the first phase of the Sishanling iron ore mine will be put into operation at the end of June 2022. The mine, located in Nanfen District, Benxi City, Liaoning Province, is the largest iron ore mine in China in terms of proved reserves and the largest deep-well super-large iron ore mine in Asia. The proven iron ore reserves of the mine are 2.48 billion mt, with an average grade of 31.19%, and can be mined continuously for more than 100 years. Construction was hampered in the wake of an explosion accident in 2018.

It was reported that the phase 1 of the mine has a total investment of 5.81 billion yuan, a designed iron ore mining and beneficiation capacity of 15 million mt per year, and iron ore concentrate output of 5.31 million mt. Construction of auxiliary wells, measure wells, and return air wells of the phase 1 of the mine was completed on August 12, 2020. The long-term plan is to produce 30 million mt of iron ore annually and more than 10 million mt of iron ore concentrate.

Hebei to fully promote the construction of Xiong'an New Area 

Wang Dongfeng, Secretary of the Hebei Provincial Party Committee and Director of the Standing Committee of the Provincial People's Congress, emphasised on a work development meeting last Thursday (April 1) that “Hebei must accelerate the construction of the main structure of the city, focus on improving and upgrading planning and design, and make every effort to promote the smart and green areas. “ 

Wang also said that it is also important to accelerate the construction of a fast and efficient transportation network, create a green transportation system, a safe and reliable flood control and drainage system, and a high-quality public service system to provide a strong guarantee for the safe and efficient operation of the city.

CISA  proposed to increase the import of primary products 

He Wenbo, executive chairman of the China Iron & Steel Association (CISA) pointed out recently that the primary task of the steel industry is to ensure supply to meet domestic steel demand by regulating the import and export markets and appropriately increase imports of primary products, especially billets. He also proposed that a national-level overseas iron ore resource development group should be established to coordinate and steadily promote the utilisation of overseas resources, and form an effective supply capacity as soon as possible.

Judging from the development trend of across the regional markets, CISA expects the North American indices to take the lead in hitting a record high and the Asian indices to follow the rising trend, rewriting the historical record. On the other hand, the European steel market may take longer to break the record amid the different market segments and high historical base.

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