China’s Property Crisis Threatens Its Steel Industry

  • 📰 TIME
  • ⏱ Reading Time:
  • 61 sec. here
  • 3 min. at publisher
  • 📊 Quality Score:
  • News: 28%
  • Publisher: 53%

Ireland News News

Ireland Ireland Latest News,Ireland Ireland Headlines

China’s property crisis threatens to drag down its steel industry

China’s Property Crisis Threatens to Drag Down Its Steel Industry

Almost a third of China’s steel mills could go into bankruptcy in a squeeze that’s likely to last five years, Li Ganpo, founder and chairman of Hebei Jingye Steel Group, warned at a private company meeting in June. “The whole sector is losing money and I can’t see a turning point for now,” he said, according to a transcript of the gathering seen by Bloomberg News.

After more than a year of property pain, the outlook is worsening as the government baulks at big bailouts and keeps stringent debt rules in place. A steel purchasing managers index for July tumbled to its lowest reading since 2008, and Goldman Sachs Group Inc. sees demand down by 5% this year. The property sector accounts for at least a third of Chinese steel demand.

In the short term, the major obstacle for steel is the large stock of unfinished properties, highlighted by a recent wave of. Prices of construction steel have also plunged, with rebar — twisted steel rods that strengthen concrete — falling to a two-year low last week. That’s even as output has dropped to the lowest in Mysteel data that goes back to 2015.“Demand is slipping fast,” Xiao Zunhu, chairman of state-owned Hunan Valin Steel Co.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

If Pelosi brings war, the steel industry will recover.

شغل عالى والله يا امريكا بايدن الخرف

🤣🤣🤣You are so talented in telling joke

Chinese steel in utter rubbish. Got to be the worst in the World for quality.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 93. in İE

Ireland Ireland Latest News, Ireland Ireland Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Stunning property with horse stables on the market for £695,000'The total site is seven acres, comprising mature gardens, 1.5 acres of maturing woodland, paddocks, menage and nuttery plantation.' Wow!
Source: BelfastLive - 🏆 16. / 77 Read more »