What is the challenge for China Steel Enterprises? They should be new consuming market, revolution of technology and low production cost. Even though China plays a key role in steel production in the world, there is also a gloomy period and we have to face the surplus problem. In recent ten years, there is a great loss of China Steel Enterprises. It is normal because of low technology of producing steel products. It also affected by surplus which cause bad competition in the market.From this year, China Steel Enterprises have not had a breathing from loss. Even though the price of mineral decrease, the price of steel products decrease much more than minerals. With the increasing supply by mineral enterprises, they have taken part of the market which lead to half decline of the price of imported minerals. What China Steel Enterprises now should do is to reduce the storage to save cost. But if the price of minerals decreases, we can expand the storage or take over mines.

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