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China's central SOEs achieve 2017 steel, coal capacity cut goals

Source: Xinhua| 2018-01-17 15:37:15|Editor: pengying
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BEIJING, Jan. 17 (Xinhua) -- China's centrally administered state-owned enterprises (SOEs) achieved their annual steel and coal capacity reduction goals in 2017, the SOE watchdog said Wednesday.

Last year, central SOEs eliminated steel production capacity by 5.95 million tonnes and coal capacity by 27.03 million tonnes, both beating annual target, said Shen Ying, chief accountant of the State-owned Assets Supervision and Administration Commission (SASAC).

The SOEs aimed to reduce steel capacity by 5.95 million tonnes and coal by 24.73 million tonnes in 2017.

For 2018, central SOEs plan to shed coal production capacity by over 10 million tonnes with coal industry restructuring a priority, Shen told a press briefing.

"Modern technology will be used to upgrade the traditional steel industry, and efforts will be strengthened in overcapacity cuts in ship building, nonferrous metals and construction material sectors," Shen said.

China has 98 centrally administered SOEs, which manage the bulk of the country's state assets.

Realizing the significance of SOEs to the country's sustainable growth, China launched a series of reforms including cutting capacity, managing "zombie companies," cutting excessive layers of hierarchy and calling for innovation.

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