The National Development and Reform Commission (NDRC), the Ministry of Industry and Information Technology (MIIT) and the National Energy Administration (NEA) jointly issued Notice on Reducing Excess Capacities of Key Industries 2019, trying to reach the targets with scientific measures, stricter standards (in aspects of quality, environmental protection (EP), energy consumption and safety), etc.

Green development is to be propelled, via upgrading equipment, EP technologies and energy utilization. Some enterprises have to exit the market by the end of 2020, including firms suspending production for a long time, suffering losses in successive years, incapable of repaying debts and impossible to survive. Bankruptcy merger, M&C and debt reorganization apply to firms without debt payback ability but having development potential to a certain extent.