Baowu Group produced 61.5 million tons of steel in the first half of the year

A large Chinese steel company Baowu Group announced that its steel production in the first half of this year amounted to 61.5 million tons, informs SteelOrbis.

Operating revenue now is $73.6 billion, while gross and net profit are $4.8 billion and $4.1 billion, respectively.

In 2021, Baowu Group produced 120 million tons of steel, ranking first in the world. For the first time, the company has taken a leading position in global steel production with an indicator of 115 million tons in 2020.

As GMK Center reported earlier, Chinese steel companies in January-June 2022 reduced steel production by 6.5% compared to the same period in 2021, to 526.9 thousand tons. The output of pig iron over this period decreased by 4.7%, to 438.9 million tons. Production of finished rolled steel reached 667, 1 million tons, deacreasing by 4.6% compared to January-June 2021.

In June, the Purchasing Managers’ Index (PMI) in the steel industry in China fell by 4.6 percentage points compared with the previous month – to 36.2 points. It is the lowest value since this index has been calculated since November 2018.

Earlier, China announced plans to reduce steel production in 2022 after a decrease in output by almost 30 million tons in 2021. The control of steel production is part of China’s efforts to meet the goal of reducing the country’s carbon emissions.

China is the largest steel producer in the world. In 2021 Chinese steelmakers reduced steel production by 3% compared to 2020, to 1.03 billion tons.