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On November 30, 2017, the ministerial meeting of the global forum on steel overcapacity was held in Berlin, Germany. Li Chenggang, Assistant Minister of China's Ministry of Commerce, invited by the German government, chairman of the Forum, to attend the meeting.

China pointed out that overcapacity is a universal, periodic and structural issue that has arisen in the course of global economic development. It is not a peculiar economic phenomenon in the steel industry. It is a common difficulty and challenge facing all countries in the world and is not a unique issue for China. The reasons for its occurrence are manifold. The root cause of this global problem of overcapacity in steel is that the U.S. financial crisis in 2008 caused the global economic recession, resulting in a drop in demand for steel. This is also the consensus of leaders at the G20 Hangzhou summit.

The Chinese side stresses that in recent years the Chinese government has taken the initiative as a structural reform in the supply side of the iron and steel industry. Through market-oriented and law-based measures, the Chinese government has been actively resolving excess capacity. The goal is clear and the measures are effective with remarkable results. Since 2016, we have eliminated over 150 million tons of backward steel production capacity. Based on the information shared by all the members of the forum, China reduced its iron and steel production capacity by more than 120% of the global total in 2014-2016. To this end, China paid a huge price and overcame various difficulties. In 2016, the iron and steel industry relocated a total of 201,000 workers, surpassing the total number of people employed by steel in the United States and Japan, equivalent to 60% of the total number of European steel employers. Taking the lead in resolving excessive steel production capacity is a conscious, proactive, resolute and sustained move that is necessary for its own development and has made an important contribution to the development of the world's iron and steel industry. A substantive report containing recommendations on specific policy measures as a basis for taking concrete and prompt policy actions

China indicated that China takes an active part in the constructive gesture and takes the initiative to promote the forum process. China welcomes the consensus reached at the forum. China hopes that from now on, all the members can further enhance information sharing and cooperation, guide the steel industry to form a benign development trend and make its contribution to the healthy development of the global steel industry.

The Steel Overcapacity Global Forum was established in December 2016 in accordance with the G20 Summit Hangzhou Summit consensus and includes 33 members from the G20 and interested OECD members. In accordance with G20 Hamburg Summit bulletin requirements, the forum should be formed by November 2017.