How is Steel Market Going on

How is Steel Market Going on The government reported that GDP will raise by 6.5%. According to China’s economic and industrial structure and downstream industry trends of steel use, China’s GDP unit consumption will continue to decline. As a member of steel enterprises, Shinestar Holdings Group concerned about China’s steel trend changes, also continuous development and production of high-quality carbon steel pipe, seamless steel pipe, galvanized pipe, LSAW steel pipe, SSAW steel pipe and other products. So in the situation of supply and demand changes, How is steel market going on? According to the government report, China plans to invest 800 billion RMB at the railway construction, 1.84 billion RMB to highway water transport, continue to strengthen the rail transit, civil aviation, telecommunications infrastructure and other major projects; urban ground and underground construction, urban underground integrated corridor more than 2,000 km; complete the shantytown housing renovation 6 million units, continue to develop public rental housing, to strengthen the construction of supporting facilities, these plans said that steel demand maintain strong momentum. Government report proposed to increase the consumption of high-quality products, to guide enterprises to increase varieties and quality, to meet the demand of consumer upgrades; improve the transformation of traditional industries, develop manufacturing, promote China’s manufacturing forward to the high-end. Judging from this,China’s high-end equipment manufacturing industry will achieve faster growth for the steel industry restructuring and upgrading of product structure to provide market support. At the same time, through the implementation of strong engineering and upgrading of equipment, and to accelerate the development of intelligent manufacturing, green manufacturing, iron and steel industry effective supply capacity will continue to improve. Government reported that it is must to effective, strict implementation of environmental protection, energy consumption, quality, safety and other relevant laws and regulations and standards, to use of market-oriented, legal means to effectively deal with “zombie enterprises” to promote mergers and acquisitions, bankruptcy Liquidation, and resolutely eliminate the backward production capacity which not up to standard, strictly control the excess industry capacity. It is foreseeable that the exit of the “zebra” and “zombie enterprise” will effectively purify the unfair competitive environment of “bad to drive out good” and create conditions for the orderly competition and healthy development of the legal compliance steel enterprises. Overall, the government report released the signal on the steel industry is positive and beneficial, helping to keep a stable demand for steel. At the same time, with China’s efforts to resolve the excess capacity of steel to further promote the effective supply of steel industry will continue to improve the level of market supply and demand will be improved. But we have to know that the challenge of depressing excess capacity is still very big, the industry to run a good foundation is not stable, we must attach great importance to continue to advance to the production capacity. in the complex and uncertain global political and economic situation, the trade friction escalates, China’s steel export resistance increases. Even so, Shinestar Holdings Group will challenge themselves and face difficulties, to produce more high-quality carbon steel pipe, welded steel pipe, pipe, galvanized pipe, seamless steel pipe and other mild steel pipe products, and strive to build a world-renowned “China brand.” Post time: Aug-23-2019