Chinese steel mills mark massive losses in 2015

China’s large and medium-sized steel mills suffered losses of 53.1 billion yuan ($8.18 billion) in the first 11 months of 2015, Xinhua reported.

Of the 101 steel mills tracked by the China Iron and Steel Association (CISA), the total sales revenue stood at 2.66 trillion yuan, down 19.3 percent from the previous year, according to the CISA report cited by the China Securities Journal.

Steel prices have fallen from nearly 6,000 yuan per tonne to 1,600 yuan per tonne in the past two years, quite a painful experience for the steel producers, Xinhua quoted Zhang Yichen, an analyst with Yongan Futures Research Academy, as saying.

In the first eleven months of 2015, China’s crude steel production dropped 2.2 percent year on year to 738.38 million tonnes, latest data from the National Development and Reform Commission showed.

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