A worker of HBIS Group Tangsteel Company patrols at the steel coil storage area in Tangshan, north China's Hebei Province, May 31, 2019.Photo:Xinhua

The China Iron & Steel Association (CISA) proposed an industry self-review initiative on Wednesday, urging the iron and steel industry to strengthen market order to further promote high-quality development of the industry while vowing steel enterprises will adjust their export strategies to safeguard the domestic supply.

The initiative stated that China has recently adjusted steel import and export policies, encouraging the export of high value-added products, and restricting the export of low-end products. Iron and steel enterprises should adjust their export strategies accordingly to meet the domestic supply, aiming to complement and regulate the import and export of iron and steel.

A total of seven proposals were outlined in the initiative. Besides urging steel enterprises to do their best to ensure the domestic supply of iron and steel, CISA also vowed steel makers to manage production based on the actual demand in a bid to maintain the balance between demand and supply, emphasizing leading regional enterprises should give full play of their market "stabilizer" role and take the lead in maintaining the smooth operation of regional markets.

Steel associations will strengthen market monitoring when it comes to critical market factors and issue early warnings in a timely manner, read the initiative, noting that the whole steel industry needs to deepen industrial chain cooperation, restricting vicious competition and assisting regulators in implementing market regulations.

Steel prices in China have pulled back significantly in May, following months of near record highs, which came after Chinese authorities launched a new round of measures to curb soaring prices in a bid to ease the cost pressures on downstream industries.

Global Times