Last year, China planned to shut down 103 small steel works. To ensure the realization of this task, State Economic and Trade Commission made an announcement. The construction of these steel works must stop. Coal, oil, and electricity should not be supplied to these steel works. Transportation should not be offered to them. Their licenses will be forfeited and no new projects will be approved.

The small steel works must be torn down after shut down. The equipments should not be rented out or sold. Up to now, 73 of the 103 small steel works were shut down.