Steel companies have a hard time getting off the hard-off

Steel companies have a hard time getting off the hard-off

China Iron and Steel Association recently released information that China's steel industry in the first half of this year, the situation is grim: the contradiction between the oversupply of steel production is still outstanding, the industry's main business is still a loss, the production and operation situation is deteriorating, the capital chain is tight.

According to the data released by the China Iron and Steel Association, the intensity of steel consumption has been gradually reduced, but the output is still growing. Among them, the daily output of crude steel has reached record highs, reaching 2.31 million tons in June, and the contradiction between supply and demand is even greater.

What emerged was that the market price of related steel products hit new lows. According to statistics, the domestic comprehensive steel price index at the end of June was 92.99 points, down 5.61% year-on-year. Since July, market prices have continued to fall. In the second week of July, the index fell to 92.32 points, continuing to hit a new low.

Zhang Changfu, Vice President and Secretary-General of China Iron and Steel Industry Association: Even considering the decline in social inventories, the actual consumption growth will not be too high, the growth of steel consumption has been very difficult, the contradiction of the oversupply of the market is still outstanding and will continue. .

At the same time, the export trade frictions of steel products have increased and they are facing increasing pressure to export. According to the marketing department of the China Iron and Steel Association, more than a dozen trade frictions have appeared in China’s steel exports in the first half of this year, involving the United States, ASEAN and other countries and regions. .

The relevant person in charge of the China Iron and Steel Association said that in such an industry situation, it is very difficult for companies to get rid of the hardships of “crossing difficulties”. The entire steel industry must have a clear understanding to prevent operational risks, in particular to strengthen capital management, give top priority to the safety of funds, and strive to increase the asset-liability ratio. At the same time, it is necessary to continue to insist on enterprises that do not produce without contracts or make no payments. Self-discipline requirements.

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