China's iron and steel sector tumbles in first two months

Report published by National Bureau of Statistics of China on Wednesday shows that the profits of the scaled industries in China grew by 21.8% in January and February compared to the same period last year. However, the iron and steel industry reported a decline of 74.6% in profits in the first two months.

Because of the surplus production capacity and the steep fall of the prices, the profits of iron and steel industry has been decreasing recently. Following the only one-digit growth in profits at the end of 2005 after the over 60% growth at the end of 2004, it suffered a plunge for the first time over the first two months of this year.

By People's Daily Online