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The impact of the domestic manufacturing upgrade on the special steel market

The impact of the domestic manufacturing upgrade on the special steel market

  • Categories:Industry News
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  • Time of issue:2020-07-21
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(Summary description)In recent years, although the entire steel market has not shaken off the weak and sluggish operating situation, the special steel market is basically stable on the whole. Operators are optimistic about the special steel market during the year, especially the rapid and continuous upgrading of the manufacturing industry in the eastern region. Increased demand for special steel will support the stable and positive operation of the special steel market.

The impact of the domestic manufacturing upgrade on the special steel market

(Summary description)In recent years, although the entire steel market has not shaken off the weak and sluggish operating situation, the special steel market is basically stable on the whole. Operators are optimistic about the special steel market during the year, especially the rapid and continuous upgrading of the manufacturing industry in the eastern region. Increased demand for special steel will support the stable and positive operation of the special steel market.

  • Categories:Industry News
  • Author:
  • Origin:
  • Time of issue:2020-07-21
  • Views:0
Information
In recent years, although the entire steel market has not shaken off the weak and sluggish operating situation, the special steel market is basically stable on the whole. Operators are optimistic about the special steel market during the year, especially the rapid and continuous upgrading of the manufacturing industry in the eastern region. Increased demand for special steel will support the stable and positive operation of the special steel market.
The operator of a steel trading company in Shanghai that specializes in the trade of high-quality and special steel said in an interview with a reporter from China Metallurgical News that recently some auto parts manufacturers have come to purchase more steel than in the previous period, and the sales of structural steel and bearing steel have increased. The price has not changed much.
Similarly, the general manager of a steel trading company in Shanghai also told reporters that recently his company has joined forces with a large machinery manufacturing company to undertake a steel supply contract for a machinery manufacturing project. Some special steels of special specifications have been produced by steel mills. The sales situation has improved recently. Since the beginning of this year, the steel trading company has turned losses into profits.
Judging from the operating conditions of some steel trading companies’ superior special steels, the recent special steel market transactions have improved, and they seem to be gradually heating up, but the prices are still low after the previous decline, some varieties are at the cost line, and the efficiency of steel mills has declined. Some companies are at a loss.
East China Youjia Economic and Trade Co., Ltd. is mainly engaged in 45# carbon steel, 40Cr alloy steel, gear steel, 40-70# hard wire, 30MnSi excellent wire, H08A/E welding wire, ER50-6E welding wire, 35K cold heading steel, etc. Special steel trading has a monthly sales volume of more than 12,000 tons, and a large number of spot resources are available all year round. The general manager here believes that the current low-price resources in the special steel market have basically bottomed out, and the downside is limited, but the demand is not strong, which makes it difficult for prices to rise in a short period of time. The policy is implemented in the terminal, and market prices are still expected to rise.
Judging from the sales feedback and the first-hand information obtained by the steel trading companies operating high-quality special steel in East China, the market price of high-quality special steel is currently at a low level, but it is “mainly stable”. In the later period, with the implementation of the domestic policy of expanding domestic demand, the demand situation in the downstream industries of superior steel will improve, and prices may rise appropriately. One of the major reasons is that the manufacturing industry in the eastern region has implemented a transformation and upgrading strategy in accordance with the "Industrial Transformation and Upgrade Plan (2011-2015)" issued by the State Council, and the demand for special steel has gradually increased. For example, Fujian Province is building an advanced manufacturing base in the southeast coast, expanding its manufacturing industry, and promoting the construction of innovative provinces, laying a solid foundation for building the economic zone on the west side of the Straits into an advanced manufacturing base in the eastern coastal area.
During the "Twelfth Five-Year Plan" period, the growth rate of Fujian's manufacturing value added was higher than the national average, with an average annual growth rate of more than 20%, striving to exceed 1.5 trillion yuan, and manufacturing sales revenue accounted for more than 5% of the national total; Electronic information, engineering machinery, electrical and electrical appliances, petrochemicals, textiles and clothing, wood processing, biomedicine and other industrial clusters with relatively complete industrial supporting systems; cultivate and build about 50 industrial clusters with a number of core blocks and core enterprises as the main body. Among them, about 10 are national manufacturing centers, and about 20 are important domestic industrial bases; cultivate about 15 large enterprise groups with strong competitiveness; the independent development rate of new products in the industry reaches 65%, and more than 50% of large and medium-sized enterprises Enterprises have basically realized enterprise informatization, and the proportion of high-tech, heavy chemical and equipment industries in the manufacturing industry has increased significantly; the level of specialization and collaboration has increased significantly, and 10 high-start, large-scale, specialized processing centers have been established in industrial concentrated areas ; Maintain the continuous growth of manufacturing exports, and strive to make the manufacturing export delivery value account for about 6% of the country, and become a competitive advanced manufacturing base in the country and a pilot area for cross-strait industrial cooperation.
The manufacturing industry in the eastern region has a strong momentum of development, stimulating the demand for special steel.

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