Steel and coal companies reach capacity reduction annual targets early

China is expected to reach the annual targets set for cutting overcapacity ahead of schedule this year, but pressure of excessive production suggests no easing up on the continued efforts.

China is expected to hit its annual target to reduce steel production by the end of this month and is expected to reach the goal for coal production by the end of November, according to Xu Kunlin, vice-minister of the National Development and Reform Commission, citing "strengthened supervision and inspection."

More than 80 percent of the target reductions were already reached in the two sectors by the end of September and some large scale State-owned enterprises have already reached their year-end targets, according to Xu.