BEIJING, Aug. 30 (Xinhua) -- The Beijing Shougang Group, one of China's leading steelmakers, reported a loss of 350 million yuan (55.6 million U.S. dollars) in the first half, down 214 percent from the same period last year.

The steel producer's revenues dropped 14 percent from a year earlier to 5.6 billion yuan in the first six months of the year, while it saw a loss of 0.12 yuan per share, according to the company's mid-year report released Friday.

The losses were incurred by the postponement of dividend payments by the Beijing Automotive Group, which the steel producer has invested in, according to the report.

A sluggish market and incomplete asset restructuring were also blamed for the loss, the report said.

A decline in raw materials costs failed to cover losses brought about by steel product prices during the first six months. The domestic steel composite price index dropped 14.08 percent to 115.48 points at the end of June, down 4.7 percent from the first quarter, while average imported iron ore prices, which cover costs, insurance and freight, stood at 138.7 U.S. dollars per tonne, despite a decline of 13.8 percent year on year.

The company's steel production rose 3 percent to 1.2 million tonnes from January to June, according to the report. Enditem

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