Japan PM Abe calls for structural reforms to address steel overcapacity

Japanese PM Shinzo Abe urged structural reforms to deal with steel overcapacity, at the G-20 Summit in Hangzhou, on Sept 5, 2016.
Japanese PM Shinzo Abe urged structural reforms to deal with steel overcapacity, at the G-20 Summit in Hangzhou, on Sept 5, 2016.PHOTO: REUTERS

HANGZHOU, China (REUTERS) - Japanese Prime Minister Shinzo Abe told the G-20 summit on Monday (Sept 5) that the issue of steel overcapacity should be addressed by pressing ahead with structural reforms based on market mechanisms, a senior Japanese government spokesman said.

"Regarding overcapacity of steel and others, market distortion by subsidies and export credit is the fundamental problem... I would like to urge structural reforms based on market mechanisms, while maintaining transparency," Mr Abe was quoted by Deputy Chief Cabinet Secretary Koichi Hagiuda as saying.

Mr Abe also urged that freedom of navigation and overflight be thoroughly observed according to law, Mr Hagiuda said. He also said Japan has lodged a stern protest to North Korea over its latest missile launches.