Hebei Iron & Steel Company (Hegang) plans to reduce more capacity and upgrade its product structure, according to local media reports in China.

Hegang says it will cut 5.02 million tonnes/year of crude steel capacity from 2016 to 2017. It will dismantle five 450 cubic metres blast furnaces, two 55-t converters, one 120-t converter and two 80-t converters. It also says it wants to increase the proportion of high-tech steel grades in its production from 41% to 70%, Kallanish notes.

The company has targeted annual revenue of CNY 500 billion ($76.5 billion) by the end of the 13th five-year plan from 2016 to 2020. Within this it expects CNY 250 billion to come from its domestic iron and steel business, CNY 100 billion from non-steel sectors and CNY 150 billion in overseas revenue.