Reported 9 months ago
Commodities producers in China, particularly state-owned enterprises, are facing challenges in a sluggish economy, with oil refiners, coal miners, and steelmakers experiencing declining profitability or losses in the first five months of 2024. These sectors are struggling due to excess capacity, slowing consumption, and Beijing's efforts to cut carbon emissions. The government has imposed capacity caps on oil refiners and prices on coal to mitigate power shortages, while steel mills are impacted by weak demand in the housing market. Despite challenges, growth restrictions aimed at reducing emissions could help stabilize steel prices.
Source: YAHOO