### China's steel consumption not to peak before 2010, experts

L
Home BizChina Metrolife Dragon Kids Forum {Tf1'4T

News > Business News ... 

### China's steel consumption not to peak before 2010, experts ( 2004-01-25 15:04) (Xinhua) 

### Though China's steel production and consumption increased rapidly in the past two years, experts say that China's steel consumption will not reach its peak until 2010. "To judge whether or not a country reached the peak steel of consumption, one should consider the certain country's industrialization level," said Li Shijun, deputy secretary-general of the China Iron and Steel Association (CISA), at a recent forum on the steel industry here. Li noted that China is still in the development stage of industrialization. Since 2002, China has entered a new round of rapid economic development, which will bring the consumption of steel to a higher level. By 2005, the country will need 250 million tons of steel and the figure is expected to reach 310 million tons by 2010, said Li. Experts noted the judgment on China's steel consumption trend in the next years is of importance for the long-term policy making in the sector. Since 2001, China's consumption of steel has increased by 30 million tons annually to reach 250 million tons in 2003, keeping the No. 1 position in the world, surpassing the combined sum of those in the United States and Japan. The International Steel and Iron Association predicted that in 2004, China will consume 31 percent of the world's total. In the meantime, the country produced 210 million tons of steelin 2003, up 15.38 percent from in 2002. Li said that in other countries which have finished the industrialization process, like the United States, Japan and England, the steel consumption reached the peak usually when the urbanization rates reach 65 percent or above. China's urbanization rate was at 37.7 percent in 2001. Though China's steel consumption will continue to grow in the next years, experts warned against the overheating and repetition of construction in the sector. Since 2002, as investment keeps pouring in, a number of new 

### Page 1 of 2
.contact us l.about us CHIN D4 1L't°

t.ia lrl ff):k- ; u

Search:
Go to Another Seci'on Other Section
Article Tools go Advertisement

E-Mail This Article Print Friendly Format Comment on this article Go to News Talk

Related Articles +UK's steel giant eyes China market 2004-01-24 +JV to help meet sheet steel demand 2004-01-16
+China's Wuhan Steel: To benefit from steel dumping tariffs 2004-01-14



### http://www2.chinadaily.com.cn/en/doc/2004-01/25/content_3O0957.htm 8/8/2005 

### China's steelconsumptionnottopeakbefore2010,experts Page 10f2
.contact us I.about us

Home BizChina Metrolife Dragon Kids Forum**:q;~mitl1>fF9tJtI11 9t~~JJ** **~Jlfi:l!!l)t ~I!ID**  

## tfirnNews> Business News

... 

### China's steel consumption notto peak before 2010, experts ( 2004-01-25 15:04) (Xinhua) Though China's steel production and consumption increased rapidly in the past two years, experts say that China's steel consumption will not reach its peak until 2010. "Tojudge whether or not a country reached the peak steel of consumption, one should considerthe certain country's industrialization level," said Li Shijun, deputy secretary-general ofthe China Iron and Steel Association (CISA), at a recent forum on the steel industry here. Li noted that China is still in the development stage of industrialization. Since 2002, China has entered a new round of rapid economic development, which will bring the consumption of steel to a higher level. By 2005, the country will need 250 million tons ofsteel and the figure is expected to reach 310 million tons by 2010, said Li. Experts noted thejudgment on China's steel consumption trend in the nextyears is of importance for the long-term policy making in the sector. Since 2001, China's consumption ofsteel has increased by 30 million tons annually to reach 250 million tons in 2003, keeping the No.1 position in the world, surpassing the combined sum of those in the United States and Japan. The International Steel and Iron Association predicted that in 2004, China will consume 31 percent ofthe world's total. In the meantime, the country produced 210 million tons of steelin 2003, up 15.38 percent from in 2002. Li said that in other countries which have finished the industrialization process, like the United States, Japan and England, the steel consumption reached the peak usually when the urbanization rates reach 65 percent or above. China's urbanization rate was at 37.7 percent in 2001. Though China's steel consumption will continue to grow in the nextyears, experts warned againstthe overheating and repetition ofconstruction in the sector. Since 2002, as investment keeps pouring in, a number of new 

### http://www2.chinadaily.com.cn/en/doc/2004-01/25/content_300957.htm Search:

# I
GotoAnotherSection Other Section
Article Tools
E-Mail This Article Print Friendly Format Comment on this article Go to News Talk
Related Articles
+UK's steel giant eyes China market 2004-01-24
+JVto help meet sheet steel demand 2004-01-16
+China's Wuhan Steel: To benefit from steel dumping tariffs 2004-01-14 Advertisement

'el:0010641941101'-551

rID!:aI'l1D 64934,'56 e,.mgj:**lelren~)'.com.cn**



### 8/8/2005

### China's steel consumption not to peak before 2010, experts steel production projects are being built. Industrial experts warnthat the steel sector is becoming overheated , noting that risks are accumulating in both raw material supply and the sale of finished products. The Chinese government has been aware of the risks and started to draft policies to rectify irrational investments in the sector,said Wang Jiong, general manager of Wuhan Iron and Steel Company in central China's Hubei Province. The remedy is expected to focus on land and credit management. Besides, the coming policies seem sure to tighten market access inthe steel industry. New projects must meet requirements in the capacity of blast furnaces, auxiliary facilities, energy consumption, water consumption , and pollution discharge.

Comment on this article E-Mail This Story
Today's Top News Top Business News +Consumer confidence on China's mainland rebounds ( 2004-01-25) +China's steel consumption not to peak before 2010, experts ( 2004-01-25) +Opportunity lands successfully on Mars ( 2004-01-25) +Groundwater overuse endangers Beijing-Shanghai railway ( 2004-01-25) +EU may lift ban on arms sales to China ( 2004-01-24) Close

+Consumer confidence on China's mainland rebounds ( 2004-01-25) +China's steel consumption not to peak before 2010, experts ( 2004-01-25) +Shenzhen continues to lead nation in foreign trade ( 2004-01-24) +China's IT market see sales of US$25.3b in '04 (2004-01-24) +UK's steel giant eyes China market (2004-01-24)

Copyright By chinadaily.com.cn. All rights reserved 

### Page 2 of 2

.contact us I about us



### http://www2.chinadaily.com.cn/en/doc/2004-01 /25/content_300957.htm 8/8/2005 

### China's steelconsumptionnottopeakbefore2010,experts steel production projects are being built. Industrial experts warnthatthe steel sector is becoming overheated, noting that risks are accumulating in both raw material supply and the sale offinished products. The Chinese government has been aware ofthe risks and started to draft policies to rectify irrational investments in the sector,said Wang Jiong, general manager ofWuhan Iron and Steel Company in central China's Hubei Province. The remedy is expected to focus on land and credit management. Besides, the coming policies seem sure to tighten market access inthe steel industry. New projects must meet requirements in the capacity of blast furnaces, auxiliary facilities, energy consumption, water consumption, and pollution discharge.

Comment on this article E-MailThis Story Close News Business News +Consumerconfidence on China's +Consumerconfidence on China's mainland rebounds mainland rebounds ( 2004-01-25) ( 2004-01-25) +China's steel consumption notto peak +China's steel consumption notto peak before 2010, experts before 2010, experts ( 2004-01-25) ( 2004-01-25) +Opportunity lands successfully on Mars +Shenzhen continues to lead nation in ( 2004-01-25) foreign trade +Groundwater overuse endangers ( 2004-01-24) Beijing-Shanghai railway +China's IT marketsee sales of ( 2004-01-25) US$25.3b in '04 +EU may lift ban on arms sales to China (2004-01-24) ( 2004-01-24) +UK's steel gianteyes China market ( 2004-01-24)

CopyrightBy chinadaily.com.cn. All rights reserved



### http://www2.chinadaily.com.cn/en/doc/2004-01/25/content_300957.htm Page2of2

.contact us I.about us



### 8/8/2005