Since it was determined last year to achieve the goal of carbon neutrality by 2060, my country has begun to implement national steel production restrictions. However, for major steel-producing countries, it is impossible to completely "stop" the growth of steel production capacity in a short period of time. Statistics show that in the first half of this year, my country produced 563 million tons of crude steel, an increase of 11.8% compared with the same period last year.
At the same time, my country's steel production reduction process in the second half of the year officially kicked off. According to the latest media report on Monday (August 16th), the statistics released by the National Bureau of Statistics show that in July this year, my country's steel production reached 111 million tons, a 6.6% drop compared with the same period last year. The cumulative total steel output from January to July reached 809.00 million tons, an increase of 10.5% compared to the same period last year.
The China Iron and Steel Association stated that the state has announced control measures on crude steel production and steel production capacity. Under these measures, my country's steel production capacity will drop sharply in the second half of this year.
In order to increase the steel capacity limit, the Ministry of Finance of my country also announced that from August 1 this year, export tax rebates for some steel products will be cancelled. In other words, my country's steel companies need to adjust steel production capacity in time according to steel production costs to avoid losses. As a result, my country's demand for steel-related raw materials has decreased.
my country's iron and steel energy limit has been steadily progressing, but Australia, which uses iron ore exports as its "ace" industry, is miserable. It is reported that 40% of the country’s iron ore flows into my country’s steel market, and some media have pointed out that the country’s iron ore exports are increasingly dependent on China’s steel market. Statistics show that in July this year, my country purchased only 88.506 million tons of iron ore from Australia, a sharp drop of 21.4% year-on-year.
To make matters worse, if Australia pulls away the "veil" of economic prosperity brought about by iron ore, there will be a "big hole" in the country's exports of other industries. Due to the current "face" problem between China and Australia, some obstacles have also appeared in the trade between the two countries. Statistics show that aside from iron ore, we only look at 8 popular Australian export commodities including beef, wine, cotton and coal. The export value is estimated to the whole year, and the country’s lost income will reach 23 billion Australian dollars (equivalent to approximately RMB). 109.5 billion yuan).
Once Australia's "trump card" starts to fail, it will be even more difficult for the country to restore its economy as soon as possible.
