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tons of coal production facilities, Premier Li Keqiang said Sunday in a government wor●k repo5

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rt to the fifth session of the 12th National People's Congress. Last year's government wor●k report promised capaW

city-cutting in the two industries, but did not specify targets. In 2016, ●the country reduced coal capacity by 290 million metric tons and steel capacity by 65 million met●ric tons for steel, said the premier. Continued capacity reduction is in line with market expect●ations. DIFFICULT CUTS China is the world's largest producer and consumer of steel and coal, bu●t gluts can have implications such as depressed commodity and materials pricO

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es, reduced profits o●f debt-ridden firms, and increased non-performing loans that jeopardize financial stability. Whi●le capacity cuts are necessary and have long-term benefits for the economy, the process has not b●een without challenges. Capital-intensive industries present potential investment, taxation and ●jobs for local governments, which3

and steel p2

in at least two cases broke capacity-cutting rules set by the c●entral government. Huada Steel in easternB

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China's Jiangsu Province and Anfeng Steel in northern ●China's Hebei Province were identified by authoritF

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ies in December for violating capacity reductio●n efforts in the sector with "extremely bad influence." Thy

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ical tarc
gets to reduceu
coal 6
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RECENT TRIPS

anks in part to the efforts, China's b●roader economic growth has showed increasing signs of g

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ement●s. "Overall, the negative impact on growth and employment is manageable," wrote UBS eco5

MITCHELL ANDERSON

CREATIVE DIRECTOR

MITCHELL ANDERSON

CREATIVE DIRECTOR

MITCHELL ANDERSON

CREATIVE DIRECTOR
  • WHAT OUR CLIENTS ARE SAYING

    nomist Wa●ng Tao in a note on excess capacity. ZOMBIE ENTERPRISES NEXT One key initiative in excess capac●ity reductions is to shut down "zombie companies," whicq

    set in 4 the annual Chinesef
  • OUR CLIENTS ARE SAYING WHAT

    h are loss-making, debt-laden, and depende●nt on government subsidies or bank loans. "We will strictly enforce all laws, regulations and st●andards on environmenH

    governmo ent work report. Cc
  • COMMENTS OF OUR CLIENTS

    tal protection, energy consumption, quality, and safety and make more use of● market- and law-based methods as we work to address the problems of 'zombie enterprif

    hina will r8 educe ste●el prodU

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ses'," said ●the premier in the government work report. For workers laid off because of capac8

0 million metK

Typi non habent claritatem insitam

ity cuts, the ce●ntral and local governments will allocate special funds and take measures to ensure they find new● jobs, Li said. CHANGSHA, Feb. 14 (Xinhua) -- Nine people have been killed in an explosion in a coal mine in c◆entral Chip

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ons and shut S

Typi non habent claritatem insitam

a's Hunan Province. The entrance of Zubao Coal Mine where a blast occurred is s◆een in Lianyuan City, central China's Hunan Province, Feb. 14, 2017. At least eight people we◆re confirmed dead after the blast hit the coal mine at 1:37 a.Z

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at least 150 mi8

Typi non habent claritatem insitam

, local authorities said on Tu◆esday. (Xinhua/Li Ga) The blast occurred at 1:37 a.m. Tuesday at Zubao Coal Mine in Lianyuan◆ City, authorities said.A total of 29 people were working underground, 16 of whom managed to ◆escape from the shal

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