Steelmakers Strained by Profit Margins

(Beijing) – Net profit margins of the Chinese steel sector have remained below one-year bank deposit rates for four straight years, according to the China Iron and Steel Association (CISA).

For the first five months of this year, 80 major steelmakers reported a combined gross profit of 42.8 billion yuan, with net margins falling 0.67 percent year-on-year to 2.91 percent, Beijing News reported on July 4, citing a senior official from the CISA.