According to China's state-owned steelmaker Baosteel, the Chinese government will continue to limit steel production this year in order to meet the country's target of zero increase in carbon emissions from the industry for the next two years.

Given the growth in steel production throughout the first seven months of this year, China will need to lower output by 30 to 40 million tons. Wu anticipated that the production cut would begin in October or November, with a rapid fall in volumes once it began.