Pakistan's steel capacity utilization rate is only 40%

According to the Pakistani “News” reported on November 13, Kashif Yunus Mehr, a Deputy Minister of the Lahore Chamber of Commerce and Industry, said in an interview with the media that at present, the annual output of Pakistan’s steel is 4 million tons. Only 40% of actual production capacity, mainly due to the domestic economic depression led to a decline in demand for steel products.

Kasif said that in the past five years, the steel and steel companies in Pakistan have invested heavily in the smelting and sheeting industries, and their production efficiency and product quality have improved significantly. However, in the past three years, the Palestinian economy has continued to decline, resulting in a sharp drop in market demand for steel products; And rising raw material prices have caused a sharp rise in costs, which has caused Pakistani steel companies to face huge losses and can't make full use of existing production capacity.

According to Almas Hyder, the former Pakistani Mechanical Engineering Committee (EDB), five years ago, Pakistan’s steel production capacity was only 4 million tons, and the market demand was 7.3 million tons: after years of investment and development, Pakistan’s current steel production capacity It has increased to around 10 million tons. However, in recent years, Pakistan’s economy has been declining, and the public domain development projects (PSDP) have been cut for many years, resulting in a sharp decline in steel demand in industries such as construction, industry, and infrastructure construction.

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