G7 leaders pledge to tackle steel glut and industrial excess
Without naming China, the G7 statement amplified pressure on the world's top steel supplier, which has been blamed as the prime driver of the cheap metal flood
Tokyo: World leaders said they are committed to fixing excess industrial capacity and a global steel glut caused by government subsidies and support, according to a communique from the Group of Seven advanced economies meeting in Japan
Without naming China, the statement amplifies pressure on the world’s top steel supplier, which has been blamed as the prime driver of a flood of cheap metal that has stoked trade tensions across the globe.
“We recognize the negative impact of global excess capacity across industrial sectors, especially steel, on our economies, trade and workers," according to the G-7’s communique Friday.
“In particular, we are concerned about subsidies and other support by governments and government-supported institutions that distort the market and contribute to global excess capacity."
Faced with its slowest growth in decades, China is exporting its surplus of steel at record levels. The European Union, India and the US have all taken steps to protect their domestic industries against the deluge. Bloomberg
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