Olympic steel supplies

China: According to the China Iron and Steel Association, construction of venues for the 2008 Olympic Games in Beijing will use 380000 tonnes of steel. Seven steel companies have been selected as suppliers to the venues.

The construction budget for the Olympics has been cut by CNY 6 billion (US$ 725 million) in response to the Government's economic cooling of certain sectors, including the steel industry and real estate.

Building of the bird's nest-shaped Olympic stadium, designed by Swiss architects Herzog &de Meuron, was halted in August 2004 after critics said it used too much steel. The stadium was redesigned on the orders of Beijing's mayor, cutting the cost to CNY 2.3 billion (US$ 278 million) from CNY 3.9 billion (US$ 470 million).

Last year China produced 270 million tonnes of steel, making it the world's largest steel producer. Production this year is expected to top 300 million tonnes, with demand showing no signs of falling.

In a bid to control steel production the National Development and Reform Commission, is currently working on a steel industry development plan, which will be delivered in 2020.