Oriental Morning Post reported that China has vowed to wash out obsolete steel capacities across the country which has already dragged on the start of 10 million tonne grade steel projects initiated by large scale steelmakers such as Baosteel and Wuhan Steel.
Mr Deng Qilin general manager of Wuhan said Wuhan Steel Fangchenggang project now fares hard due to worldwide financial crisis and feasibility study report has not been approved by National Development and Reform Commission.
Total investment of CNY 69.8 billion is expected to be injected into Fanchenggang project to forge annual capacity of 10 million tonnes.
