Chinese Premier Wen Jiabao said the steel sector must eliminate backward production capacity, speed up merger and restructuring and link steel sector with information technology, new materials and recycle economy to make the sector strong, Xinhua reported.

    He made the remarks when visiting factories and mines in north China's Shanxi province during Saturday and Sunday.
Moreover, the premier also stressed that China would made structural adjustment and expanding domestic demand, especially consumption, as long-term and basic principles to cope with the global economic downturn.

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s 4-trillion-stimulus-package has pushed the domestic economy forward, and China is expected to keep positive growth in the second half of this year, said China Securities Journals citing analyst.

    In addition, China will further expand its overseas investment in diversified means, according to Dai Xianglong, chairman of the National Council for Social Security Fund (SSF), China's pension fund.