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Steel industry undergoes key changes in 2006

(Xinhua)
Updated: 2006-12-31 14:20

GROWING PRIVATE ENTERPRISES

Private enterprises encouraged to take part in the steel sector by the government has grown into an important power, accounting for more than 36 percent of the national output.

In Hebei, private steel companies produced 51 million tons of steel during the first ten months of this year, or 66.11 percent of the total output of the province.

JiangsuShagang Group Co. Ltd., a private steel company, has become China's fifth largest steel company with an annual sales revenue exceeding 40 billion yuan (5.11 billion U.S. dollars).

"Private enterprises will force state-owned steel companies to speed up the adjustment of products structure and reshuffle, thus upgrade the iron and steel industry as a whole," said Xin Zhichun, director of Tangshan development and reform bureau.