OREANDA-NEWS. July 13, 2012. Ansteel is projected to have a net loss of 1.98 billion yuan in the first half of 2012 in reflection to a year-on-year 12 percent decline in the selling figure of steel products.

Similarly, Lingyuan Steel and Sinosteel Jitan have foreseen net losses of 232 million yuan and between 44.50 million and 46.50 million yuan respectively during the same period.

In the first five months, the profit margin of key domestic steelmakers dropped by 94.26 percent to 2.53 billion yuan. The majority of the steelmakers would have incurred overall losses, had proceeds from their non-steel segments been written off their balance-sheets.

Analysts note the fundamental solution is to enhance their competitive capabilities and management efficiency.