China's top steel making province reports robust profit rise

North China's Hebei Province, home to a quarter of China's steel manufacturing, reported a robust profit growth in the first half this year after a drastic price plunge last year, according to the provincial metallurgical industry association.

Steel makers in the province made 15 billion yuan (2.2 billion U.S. dollars) in profits in the first six months, up 181 percent year on year. The profit margin stood at 3.02 percent, the association said Saturday.

Sixty-three of 78 steel makers surveyed in the province were profitable during the same period, an increase of 15 percent year on year, it said.

A restorative rebound after the price plunge contributed to the remarkable growth this year, said Song Jijun, deputy head of the association.

The price of a tonne of steel was cheaper than that of a tonne of purified water in the latter half of last year due to serious overcapacity and sluggish demand amid a slowing economy.

The province, home to seven of China's top 10 most polluted cities, plans to cut a combined 160 million tonnes of steel, cement and coal production, and another 36 million weight cases of glass by 2017, compared with 2013 levels. Enditem