Price impact of Tangshan government move to strictly monitor steel production levels likely to be limited

摘要

Authorities in the northern Chinese steel hub of Tangshan will strictly monitor that winter production restrictions aimed at improving air quality are fully implemented from December 13 to 31, according to a notice issued by the municipal government on Tuesday December 11. Most market participants told Fastmarkets MB that they did not expect the move to have much of an impact on steel prices, however.Tangshan authorities had demanded steel mills in the city cut their production by 30-70% from October 1 to March 31, according to a notice issued late in September. Only a single steel mill passed the emissions standards set by the authorities that would allow production to continue unfettered.