China Steel Mills Brace for Hard Times

China Steel Mills Brace for Hard Times
A man works in front of a furnace at a steel plant of Dalian Special Steel Co Ltd. in Dalian, Liaoning Province, China on June 20, 2018. Reuters
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MANILA/BEIJING—Chinese steel producers ran up losses for the first time in three years this month as prices slid into a bear market on weak demand and near-record supply, ending years of solid profit margins.

And with the world’s No. 2 economy cooling and facing increased risks from a growing trade war with the United States, China’s steelmakers are likely to feel more pain unless Beijing launches fresh stimulus measures, traders and analysts say.