News & Insights

China Subsidy Exchange

November 22, 2016

China Issues 13th Five Year Plan for the Steel Industry

On November 14, 2016, the Ministry of Industry and Information Technology of China (MIIT) issued the Iron and Steel Industry Adjustment and Upgrade Plan (2016 2020)( Plan), to support the Chinese steel industrys development in the next five years. The Plan aims to raise the average annual growth rate of industrial added value from 5.4% in 2015 to 6.0% by 2020, raise the capacity utilization rate from 70% in 2015 to 80% by 2020, and raise the industrial concentration in top ten producers from 34.2% in 2015 to 60% by 2020. As supporting measures, the Plan calls on local governments to utilize existing funds, explore multiple kinds of support measures, and guide financial institutions and social funds to support key tasks of the Plan. The Plan also mandates banks to continue meeting reasonable credit loan needs of profitable enterprise.