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In 2006, the government's macro control and adjustment of industry policy produced impact on some metallurgy enterprises in China's metallurgy industry. However, the industry remained prosperous as a whole, with steady growth in output and sales revenue. The micro-economic environment and investment environment in the industry still presented a rosy picture. Listed steel companies and non-ferrous metal companies achieved encouraging performance. Therefore, the industry is worth investing. Due to low industry concentration, competition is very intense in the industry structure is a serious problem in this sector. The excessive production capacity of some low-end products with high added value. The shift from production capacity expansion to the adjustment of industrial structure is the development direction in the future.