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ons such as depress〓ed commodity and materials prices, reduced profits 〓of debt-ridden firms, and increased non-performing 〓loans that jeopardize financial stability. WO

hile c〓apacity cuts are necessary and have long-term benef〓its for the economy, the process has not been witho〓ut challenges. Capital-intensive industries presen〓t potential investment, taxation and jobs for local〓 governments, which in at least two cases broke cap〓acity-cutting rules set by the central government. 〓 Huada Steel in eastern China's Jiangsu Province an〓d Anfeng Steel in northern China's Hebei Province w〓ere identified by authorities in December for viola〓ting capacity reducti0

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on efforts in the sector with 〓"extremely bad influence." Thanks in part to the e〓fforts, China's broader economic growth has showed 〓increasing signs of stabilizing since the latter ha〓lf of last year, with indicators such as factory pr〓i0

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ces and industrial profits seeing significant impr〓ovements. "Overall, the negative impact on growth 〓and employment is manageable," wrote UBS economist 〓Wang Tao in a note on excess capacity. ZOMBIE ENTE〓RPRISES NEXT One key initiatI

ive in excess capacity〓 reductions is to shut down "zombie companies," whi〓ch are loss-making, debt-laden, and dependent on go〓vernment subsidies or bank loans. "We will strictl〓y enforce all lah

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  • ry reduced coal capac〓ity by 290 million metri2
  • c tons and steel capacity b〓y 65 million meV
  • tric tons for steel, said the premie〓r. Contie
  • nued capacity reduction is in line with mB
  • a〓rket expectations. DIFFICULT CUTS Chinw

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ws, regulations and standards on en〓vironmental protection, energy consumption, quality〓, and safety and make more use of market- and law-b〓ased methods as we work to address the problems of 〓'zombie enterK

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prises'," said the premier in the gove〓rnment work report. For workers laid off because o〓f capacity cuts, the central and local governments 〓will allocate special funds and take measures to en〓sure they find new jobs, Li said. CHANGSHA, Feb. 14 (Xinhua) -- Nine people have been killed in an explosi2

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e a blast o◆ccurred is seen in Lianyuan City, central China's Hunan Province, Feb. 14, 2017. At lea◆st eight people were confirmed dead after the blast hit theg

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rred at 1:37 a.m. Tuesday ◆at Zubao Coal Mine in Lianyuan City, authorities said.A total of 29 people were working◆ underground, 16 of whom managed to escape ff

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al and described as stable.Work is contin◆uing to retrieve the bodies of three victims in the flooded shaft.The licensed coal min◆e with an annual production ct

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