After months of implementing unsuccessful measures to curb the excess capacity, China has accelerated their attempt at levelling off their excess productivity. There are expected to be 1.3 million jobs cut from the coal sector and a further half a million job cuts from the steel industry.

The cuts make up approximately 20 percent and 11 percent of coal and steel jobs in China, and it is expected to alleviate some of the rout currently being experienced by global commodities.

“Although this is a very difficult task, in every respect, it is something that we must actively work to accomplish” said Yin Weimin, China’s top human resources and social security official.