Steelmakers to cut production

Several large Chinese steelmakers are set to reduce output by about 20% in October to reinforce falling steel prices, the Financial Times reported, citing state media. Shougang Steel, Shandong Iron and Steel, Hebei Iron and Steel and Angang Steel met last week to discuss cuts in production of up to 20 million tons. Steel prices have suffered from a soft property market, which accounts for 38% of domestic steel demand. Steel consumption rose 16% in the first half of the year, but output has been falling since June. However, analysts expect the government's focus on supporting economic growth could lead to a rebound in demand.