China’s largest steel mills are facing substantial production problems due to severe winter storms, the Financial Times reported. Transportation blockages and power shortages caused by low coal and coke coal supplies have caused nine of the country’s largest steel companies to cut back production, although Baosteel, the country’s largest steelmaker, said it had been unaffected. China, the world’s largest producer and consumer of steel, could lose 500,000 tons of hot-rolled steel because of the weather, which could trigger an increase in global steel prices.
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