Since 2012, domestic steel prices have gone from bad to worse, since May, accelerated deep down, some varieties of steel prices fell below a new low for the year, the entire steel industry stagnated. Once high-flying, once earned pours the steel trade are now frowning, gloomy forecasts. Continued downturn in steel prices for the six months, making their profits significantly squeezed, almost unprofitable.
Recently, a total investment of nearly 140 billion yuan project in Zhanjiang and Fangchenggang project is approved, the million-kilowatt hydroelectric project the Yunnan guanyinyan Hydropower approved, home appliances that meet energy efficiency standards of 26.5 billion yuan of financial subsidies and a series of "steady growth" stimulus The introduction of iron and steel industry of the late steel demand growth is expected to enhance.
In this regard, the the Liaocheng Xu Ying Steel Co., Ltd., general manager Wang Jun analysts believe that despite the current policies bonus stimulus, including the rising market confidence, including the steel industry, the market outlook, the expected value substantially climbing growth, but the current round of investment stimulus package for steel in the end able to bring more large-scale demand, this demand is timely reflected in the turnover of the steel market had to wait for the actual market validation.
Founded in 2009, Liaocheng Xu Ying Steel Co., Ltd., located in the Shanxi-Hebei-Shandong-Henan four provinces of the handover of the Shandong Liaocheng. Location and convenient transportation. The company covers an area of ??million square meters, the plant covers an area of ??5000 square meters, 100 employees, and appointed four senior engineer, senior management staff of 16 people, college degree or above 58 people. The company has a large modern open-air library, with the spot more than 3,000 tons, thousands of varieties.
The Wangjing said that the short term, the Steel City will be in a weak demand for mid-stage, As for the macro-policy shift to bring a lot of the middle of the steel market transactions, is unclear. In the case of the weakening of the financial property of the steel, the steel trading business, the wishes of the gambling market stockpile significantly reduced.
"First of all, the steel industry in recent years investment in fixed assets is too high, every year 400 billion to 500 billion yuan, these investments are gradually able to release into production; Secondly, the part of SMEs rely on the market and cost advantages, including local protection of the additional revenue is still to increase; In addition, more state-owned enterprises of the steel industry, many reasons for the market exit mechanism to be ineffective. may be only 630 million tons last year's output capacity to more than 900 million tons. "Wangjing said.
In summary, Xiao Bian believes that the domestic steel industry since last October into the winter, due to the dual pressures of supply and demand, the steel industry has been in the edge of the loss. Although at the end of May, due to the domestic steel prices by the speed of Development and Reform Commission approval of projects, the bank at the end of assault lending policy level message driven stabilized stabilized, but the policy aspect of good less, the most fundamental demand for the domestic market as a whole is still in the doldrums imbalance between supply and demand of the domestic steel market, the so-called "feel good" factors can easily be digested out.
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