China's Biggest Steelmaker Shuts Mill
BEIJING (AP) — China's biggest steelmaker has closed a mill in Shanghai due to lack of demand in a new sign of the country's economic malaise as companies and investors look for signs of a long-awaited rebound in growth.
Baosteel Group said Thursday it was closing the facility in Shanghai's Luojing district to avoid mounting losses amid weak demand for steel plate. A company statement gave no details of how many people were employed by the plant.
The announcement reflects weakness in construction, shipbuilding and other industries that are major steel consumers despite government efforts to boost economic growth with higher spending on public works.
Analysts say economic growth should rebound late this year or in early 2013 but a recovery is likely to be weak.