According to report, China industry ministry said today that the profit from Chinese steel sector will be hurt in 2012 on low demand and higher costs.
By observing the second half result, many big steelmakers experienced losses and it is unlikely to pick up in 2012.
The daily crude steel production stood at more than 1.9 million tons, which was much more than 2010; however, the rate dropped to 1.7 million tons in the last quarter as the government to control in speculation of commercial real estate.
The latest data from China Iron and Steel Association (CISA), the daily production in Mid-January dropped by 1.3% to 1.669 million tons. Moreover, it is expected that it may decline further if the profits do not turn better