China's steel profits plummet 96%

 Profits at China's steel mills fell by 96 percent in the first half of 2012 compared with the year before, the China Iron and Steel Association, which represents the country's largest mills, said on Wednesday.

Many mills, especially the larger ones, are struggling as steel prices dive just as expensive upgrades commissioned during China's decade of booming steel demand are coming online.

The industry as a whole earned 2.385 billion yuan ($374 million) in the first half of the year, CISA officials told reporters at its regular press conference.

Sales margins have fallen to 0.13 percent, from 3.06 percent last year, CISA said.

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