Steel Slowdown Hits Foreign Steelmakers, Dividends Suspended

Bloomberg: ArcelorMittal Is Latest Victim of China's Steel-Export Glut
“It is obvious that we are operating in a very challenging market,” Chief Financial Officer Aditya Mittal said on a call with reporters. “This is essentially the result of very low export prices out of China that are impacting prices worldwide.”

The steel industry has been roiled by the slowest economic growth in two decades in China, the biggest consumer. The flood of cheap exports from the nation has drawn complaints from Europe and the U.S. that the shipments are unfair. Bloomberg Intelligence estimates Chinese steel shipments overseas will exceed 100 million metric tons this year, more than the combined output of Europe’s top four producing countries.

...“The pricing that is coming out of China is just not sustainable,” Mittal said. “The volume of losses that they are encountering is very significant. Their problem is being amplified and then exported on to our markets.”
How are they financing the losses?

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