January 4, 2016

In Case You Missed It: World Steel Association Chief Says Chinese Glut Is “Serious And Critical”

Over the holidays USA Today published an interview with World Steel Association Chairman Wolfgang Eder, who is also CEO of the Austrian steel company Voestalpine. 

USA Today economics reporter Paul Davidson asked Eder about China. Eder said, “The current Chinese overcapacity problem affects all parts of the world. Chinese plants (are selling) not only to the U.S. but also to Europe. It's an intensive discussion of what should be the reaction and an ongoing discussion to what extent Europe should follow the U.S. (in filing trade cases). The problem at the moment is enormous. I do hope we will find some balance again in the next months, but at the moment, the situation is a very serious and critical one.” 

Eder noted the Organization for Economic Cooperation and Development has found there is 600 to 700 million tons of overcapacity worldwide and that China is largely responsible for that overcapacity. Eder also discussed the cost-cutting measures his own company has put in place to deal with the global decline in prices. Read USA Today’s full interview with Eder here.