Sinosteel Association: In the past two months, steel production has significantly exceed market demand, and the supply side needs to be adjusted reasonably

21st Century Business Herald reporter pays wing to fly Beijing report

On July 8th, the China Iron and Steel Industry Association held a video conference on economic operation of some steel enterprises in the second quarter to understand the production and operation of enterprises, exchanged the results of the national series of relief support to the implementation of the fiscal and taxation policy, put the pulse industry operation, and study response measures and countermeasures.

Judging from the situation reported by the enterprise, since the beginning of this year, it is affected by factors such as complex and severe international situation, diverse domestic epidemic dispersion, and poor operating industrial chain supply chain. The operation trend of decline, rising costs, decrease in income, and decline in profit "faces greater challenges for enterprises.

Corporate representatives believe that at present, global inflation pressure has continued to rise, the international commodity market fluctuates, and the price of iron ore is high, especially the prices of coke coal and coke have risen sharply. Further increase. Under the goal of the stable growth of the country, with the adjustment of the epidemic prevention and control policy and the advancement of resumption of work and re -production, the demand for steel will gradually release, and the infrastructure construction will have a certain role in pulling the steel demand. However, due to the low season of consumption, the consumption recovery of the steel industry in real estate and home appliances is still uncertain. The demand for steel may not be expected to be improved. Steel price levels are expected to effectively release the shock upward with demand.

On the basis of listening to the current status of the business operation and the analysis of the later market trend, He Wenbo, Secretary of the Party Committee and Executive President of the Steel Association, explained the basic judgment of the current steel market situation, and proposed the key tasks of the industry in the near future accordingly.

The first judgment is that although the main problem of the current market is on the demand side of the steel, the actual solution is on the steel supply side.

He Wenbo said that steel companies must have a rational judgment, reality choices, and active response to the market. They must arrange production plans reasonably in accordance with the needs of supply and demand for the purpose of meeting the needs of user needs, and to oppose blind production by ignoring changes in demand. In the past two months, steel production significantly exceeds market demand. The most important thing at present is to put the industry's self -discipline. One is to persist in organizing production according to contracts. Do not pay or ship, do not work hard to sell income to accounts receivable; third, oppose unfair competition, do not lower than the cost line to sell dumping dumping to the market to seize market share vicious competition to damage the normal market order of the industry.

The second judgment is that although the overall economic demand is still weak and the level of steel consumption in the downstream industry has not reached expectations, in various measures that the state is starting the demand, the expected effect of increasing infrastructure and construction investment is more compared to other fields. In reality, the relative demand of steel is expected to improve on the basis of the present.

"At present, we must not only pay attention to the changes in the total demand, but also pay attention to the new changes in consumer structures such as new materials, new infrastructure, new fields, and new formats. There are incrementing in the reduction." He Wenbo emphasized that the current association's current association's For work tasks, one must closely track the trend of demand in various fields in the downstream, and provide the enterprise with dynamic market information in a timely manner; second, we must focus on analyzing the changes in the consumer structure to meet the needs of new consumption growth under the condition of weak amounts; Operating policy suggestions to create conditions to promote the development of high value -added products; fourth, we must accelerate the cross -industry cooperation represented by steel structure buildings to expand the application of steel applications.

The third judgment is that although the economic benefits of the industry have fallen significantly in the current period, the overall assets of the industry are still at a good level. At present, the debt structure of steel enterprises has continued to optimize, the asset -liability ratio has decreased year -on -year, the short -term borrowing decreases, the increase in long -term loans, the decline in corporate costs, and the continued increase in research and development expenses. Essence

The fourth judgment is that, although with the improvement of the epidemic control status, the trend of the supply trend of the original steel fuel supply has generally stabilized, but due to the intensification of global geopolitical conflicts and the continued tension of energy supply, the impact of the raw fuel supply of steel will continue. The steel industry will continue. The steel industry will continue. There must be adequate preparation. In this regard, as the work task of the association, one is to strengthen the supply of energy supply and energy supply, and actively coordinate the stable price of the government and the main original fuel of the government and the upstream industries; The current development of the situation is compatible with targeted measures; the third is to refine work projects to promote the implementation of various national financial and tax policies in the implementation of steel companies; the fourth is to continue to promote various measures for the "cornerstone plan" to accelerate the implementation.

The fifth judgment is that although the overall strength of the supply -side structural reform industry has greatly improved and has the strength and confidence of the challenge, the development of imbalances and uneven levels still exist, and the total demand is relatively low. The gap between the competitiveness between enterprises is more significant, and there will be a trend of differentiation and integration. It is necessary to continue to accelerate the merger and reorganization of the industry, and create conditions to promote the concentration of advantageous resources to advantageous enterprises.

The sixth judgment is that although the main goals of the industry are gradually clear, how to make a coordinated dynamic balance under multi -goal, how to coordinate development and low -carbon, development and security is still a major industry topic that needs to be further explored. China's steel industry is establishing and strive to adapt to the three -dimensional target system of "economics, ecology, and security".

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