China's crude steel profits down due to slow down

however, steel output increased by 2.2% on year to 296.26 million tonne during the Jan-May period

Growth of China's crude steel output slowed in the first five months, as demand dropped amid a cooling domestic economy.

Crude steel output increased by 2.2% year-on-year to 296.26 million tonnes during the January-May period.

This is compared to 8.5% growth recorded during the same period last year, data with the National Development and Research Commission said.

Apart from output, the sector's profits also slipped sharply.

Steel producers saw profits decline by 49.5% in the first four months to 39.5 billion yuan ($6.27 billion) as compared to the same period last year.

China's manufacturing sector has been hard hit after the country introduced measures to cool its property market, a major steel user, even as exports slumped amid a lingering eurozone crisis, Xinhua reported.