Baosteel has to adjust its steel price against sluggish domestic market,it is reported that prices of Hot Roll sheet with acid wash, CRC,Galvanized sheet will be lowered down again based on price in Dec which already indicated.but baosteel has not dismiss employee while steel mills have aready lower their compensations.

　　it is not the best choice to reduce the price further,the price of Baosteel's HRC will be RMB4600 in December , but current market is about RMB3000, so big different, if baosteel were not lower the price, it is not fair to their old customers.and not good to sell the inventory.It is said that the reduction of HRC is by RMB 1000/MT and CRC is by RMB970/mt .and other products also lowered

　　That reduction is not good news for steel industry and its raw materials, but it is the only choice, Iron ore prices are geting down to a low level. this is the only way to sell the stocks  immediately and get money back, even this sale will make huge lose comparing with higher cost.　

    For the time being, no steel mills dismiss the employee in China till now,but compensation has been lowered by 20%, and some steel mills are going to reduce further if market were getting worse.　

• [Editor:editor]