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Two steel giants took aim with a cake competition is difficult to avoid

The reporter learned that the new base of Wuhan Iron and Steel and Baosteel are fine steel base. The face of the market are in southern China and Southeast Asia, mainly in the high-end products of the production of automobiles, appliances, machinery and construction industries. Whether this will lead to fierce competition in the future? Reporter interviewed a shareholder of the Wuhan Iron and Steel Fangchenggang project, Guangxi Liuzhou Iron and Steel Company.
 
Guangxi Liuzhou Iron and Steel Group general manager Gan Guiping Liu steel production is 10 million tons, equivalent to that new project recycling a Liuzhou Iron and Steel?) Is not recycling a willow steel, because the entire production capacity has been eliminated a lot of Guangxi as a whole, including Wuhan Iron and Steel the backward production capacity, including Liuzhou Iron and Steel also eliminated a part of it is not pure increase productivity.
 
Liuzhou Iron and Steel Ironworks party secretary Huang Zhou, Liu Gang eliminate backward production capacity of 4 blast furnace, 380 cubic meters, the capacity decreased by two million tons of this capacity is reserved for the Fangchenggang new project.
 
Liuzhou Iron and Steel general manager Gan Guiping, excess iron and steel industry, is the excess of "fair average quality, not excess" fine ". In order to free up capacity can, Guangxi and Wuhan Iron and Steel will be the cumulative compression crude steel production capacity to 10.7 million tons to the the Fangchenggang quality base. Liuzhou Steel has discontinued some of the excess species.
 
The Willow steel bar line Changfuchangchang Luo Qingge ordinary wire surplus of some, so we basically never produced. In previous years, our inventory is basically full, basic to about 30,000 tons of inventory remained essentially in one million tons.
 
Liuzhou Iron and Steel general manager told reporters that now the domestic high-end steel products also rely heavily on imports. Board, such as automotive, marine engineering steel, household appliances steel, etc., Fangchenggang iron and steel base hit these high-end fine steel. Reporters learned that 13.2 million tons in 2011 China imported sheet steel imports reached 3.56 million tons, accounting for 27% of the volume of imports. Guangxi annual steel consumption of 20 million tons, millions of tons of them need to buy from the field. Liuzhou Iron & Steel only 90% of the cars and appliances in Guangdong accounted for sales of cold rolled sheet annually sold. But they also said that the two steel enterprises in the future competition is inevitable.



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