China Cabinet to Hear Plans for Boosting Steel Industry

China State Council, or the cabinet, holds an executive meeting Wednesday to hear and examine a plan on boosting steel industry, according to China Securities Journal.

Jia Yinsong from the Ministry of Industry and Information Technology disclosed that the plan is expected to adopt following measures to solve various problems faced by China's steel industry:

-- To ensure a stable domestic market and regulate market circulation;

-- To control steel output and eliminate backward steel capacity;

-- To promote technological innovation;

-- To optimize industrial layout;-- To encourage enterprise reorganization;

-- To further adjust product mix and increase efficiency; and

-- To explore resources at home and abroad.

According to Jia, steel industry is urged to implement tax reform, raise building steel standard, encourage the use of local steel by household appliance makers, ship makers and automakers, restructure enterprises, and expand their overseas markets.

Wu Xichun from China Iron and Steel Association (CISA) said that the plan would bring opportunities for the development of China's steel industry.