On January 31, Zhejiang Province-based Chinese steelmaker Hangzhou Iron & Steel Group Company (HISGC) announced its preliminary financial results for 2012, indicating a net loss of RMB 380 million ($61.3 million), compared to a net profit of RMB 299.8 million in 2011.

Hangzhou Steel stated that its net loss in 2012 was due to insufficient demand from downstream users amid the sluggishness of the steel market, despite its efforts to reduce costs and improve operating conditions.