The World Doesn’t Need Trouble in Chinese Steel

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The World Doesn’t Need Trouble in Chinese Steel
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Heard on the Street: The world’s largest steel industry is coming under pressure again. That’s bad news for Western steelmakers and China alike.

The world’s largest steel industry is coming under pressure again. That’s bad news for Western steelmakers and China alike.

Chinese steelmakers are dealing with a tough combination of rising material costs, still-high borrowing costs, and shaky demand at home. The problem could spread across the world if Chinese steel starts to flood global markets as it did in 2016. Another risk is financial: Weakness at China’s steelmakers, already among the most indebted Chinese firms, could deal another blow to a financial system already...

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