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Flat glass industry joint restructuring or national support
In order to effectively and steadily address the issue of overcapacity in key industries such as steel, cement, electrolytic aluminum, flat glass, and shipbuilding, the State Council recently issued the "Guiding Opinions on Resolving Severe Overcapacity in Production Capacity." This document outlines a comprehensive strategy aimed at managing overcapacity across multiple sectors and promoting sustainable industrial development.
The Guiding Opinions emphasize eight key tasks. First, it strictly prohibits the construction of new production capacity and addresses illegal projects under construction through classification and proper handling. Second, it calls for a thorough cleanup of existing illegal production capacity and strengthens regulatory oversight and access control. Third, it aims to eliminate outdated production facilities and guide the orderly exit of inefficient capacity. Fourth, it encourages enterprise mergers and acquisitions to optimize industrial layouts.
Fifth, the policy focuses on boosting domestic demand and improving its structure. Sixth, it supports expanding international markets and enhancing foreign investment cooperation. Seventh, it highlights the importance of technological innovation and enterprise management improvements to drive sustainable growth. Lastly, it advocates for government reform, fair competition, and the establishment of long-term mechanisms to ensure effective implementation.
Specifically for the flat glass industry, the guidelines call for revising product standards and encouraging the use of energy-efficient doors and windows in both new and existing buildings. They also promote the adoption of low-radiation insulating glass, support the upgrading of existing production lines, and aim to improve the quality of float glass. The deep processing rate of flat glass is expected to exceed 50%, with efforts to develop functional glass and integrate original film production with further processing.
Additionally, the plan encourages structural adjustments in key production areas, particularly in environmentally sensitive regions like Hebei, Guangdong, Jiangsu, and Shandong. It supports joint restructuring to form strong enterprise groups with complete industrial chains and competitive advantages. These measures are designed to foster a more balanced and sustainable industrial ecosystem.