The steel trade industry, which was once so that millions of people the envy of the industry, a year ago to be enjoying a lot of money, but from the beginning of this year the South a steel trade and business owners on foot began, the industry seems to be "common knowledge", and now steel trade enterprise the day is certainly not good: steel financial pressure on the steel trade enterprise, real estate and steel trade enterprise customers the current downturn, payment default, the reporter was informed that, in the upstream steel mills and extrusion of downstream users this year, the profit margins of steel trade enterprise even 1% of reach, but also interest on bank loans ate half. The steel trade enterprise is almost working for the bank. "The general manager of a steel trade enterprise, is almost a description of the status quo of the entire steel trade enterprise.
 
Steel mills pass on the funding pressure
 
Recently, the Shanghai Futures Exchange rebar main contract price has dropped to 4000 yuan / ton, iron and steel enterprises fall into the universality of loss. This is the industry background of the June 17 opening of the Jinan Steel City Forum. Zhangdian Iron and Steel Plant, Mountain Iron and Steel Group sales Minister Zheng Bao Yuan told reporters that this year the company production and sales scale a serious decline in sales of the most difficult year.
 
Zhangdian Iron and Steel Plant is a major producer of construction steel in the province, Mountain Iron and Steel Group established construction steel professional production base, by the real estate industry-wide cooling.
 
Low profit margins under the weight of the steel trade and sales, original steel value is pay attention to it. Steel direct proportion was from 40 percent in the past to 70 percent last year, many large domestic steel prices in the country laid sales outlets, Mountain Iron and Steel Group has also set up a professional logistics company, the unified deployment of the steel trade and resources. "Self distribution network, not only need to invest more important is that a huge section of a large number of steel products accounted for and can not quickly realized, the formation of new pressure on the capital chain of steel." Industry and Trade Co., Ltd. of Shandong Tianbao board manager Cuiai Bin told reporters. in the continuous loss of funds under the pressure, the steel mills had to return to the road of relying on the steel trading business. In accordance with industry rules, the delivery of the steel trade enterprise need real money, very little credit. "As a result, the financial pressure of the steel mills are also be transferred to the corporate head of the steel trade."
 
Housing prices in delinquencies increase
 
Compared with the direct supply manufacturers of plate, housing construction such as threaded wire is the main varieties of the steel trade business operators, and this was also a real estate cooling of the hardest hit.
 
According to the National Bureau of Statistics released earlier in 2012 May, real estate investment, the national residential investment growth has dropped by 0.3 percentage points. In Shandong, in the first quarter, the province's real estate sales dropped 25.2 percent, while the sale area is increased by 60.1%. Followed from the sharp drop in steel demand in construction, real estate financing is difficult to be more "worse".
 
Maxue Tao, deputy general manager of Qingdao Construction Logistics Group Co., Ltd., subordinate enterprises of Qingdao Construction Group, Logistics Group is also under tremendous financial pressure and supply company in Qingdao, site, steel pressure only in respect of up to hundreds of millions of million. Despite the huge financial pressure, companies must also quickly become bigger and stronger. In order to achieve both development goals, the Ma Xuetao decided to expand the business scope and increase the capital of the fast rotation of steel wholesale business in order to reduce the financial pressure caused by the site accounting section of the company. "Currently, we have become the economic Steel Min source Qingdao steel distributor."
 
Steel trade financing more difficult
 
In the upper reaches of the steel mills and downstream housing prices squeezed the living space of the steel trade enterprise is rapidly compressed. Downward pressure on the domestic economy as a whole, the financing of SMEs also swept across the entire province the steel trade and industry.
 
Li City, Zibo Great Wall of materials, general manager of the car to reporters just such an account: for example, every year needs to be advanced to the steel mills of the funds will reach 10 billion yuan with an annual turnover of 20 million tons of steel trade enterprise, stronger enterprise in addition to some of its own funds, general steel trade enterprise dependence on bank lending up to more than half, which means that a loan of 500 million yuan. In accordance with current industry profit margins, the profits of the steel trading business for less than 1 percent, to invest one billion yuan of funds, the profit is less than ten million yuan. "The money is sometimes not enough to pay interest on bank loans, steel trade enterprise reduced to the banking wage earners."
 
The analyst believes that the domestic steel production car to the countryside by a few years ago, home appliance subsidies, building materials to the countryside policies to stimulate the manufacturing sector is over-development. The dividend policy has been exhausted, the crisis will come, but this does not mean that the market will continue to sink. Has just appeared in June 9, the central bank cut interest rates behavior in advance, short-term government policy is turning positive. Steel City stage positive will follow.



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