Shagang has closed two 24-square-meter sintering machines, two 20 t electric furnaces and 32 S7 transformers since 2007. This year the company will try to save the consumption of standard coal by 150,000 tons. According to a state mandate, Jiangsu Province, where Shagang sits, will have to eliminate 800,000 tons of pig iron capacity, 600,000 tons of steel capacity and 600,000 tons of coke capacity this year.