China's low-value steelmakers beat high-end peers

Beijing

POWERED by China's infrastructure push, Chinese construction steel producers are seeing their best profits in years, lording it over their high-value counterparts in a setback for Beijing's years-long drive urging steelmakers to move up the value chain.

As its manufacturing engine sputters, the world's second largest economy is increasingly relying on infrastructure spending to boost growth, spurring demand for construction steel products and lifting producer profit margins to near record levels.

Combined with recent cuts to low-quality steel capacity amid a war on pollution, thi…