How to get rid of the plight of 904L stainless steel seamless pipe manufacturers?
How to get rid of the plight of 904L stainless steel seamless pipe manufacturers?
On April 27, the national development and Reform Commission said that it would continue to reduce the output of crude steel nationwide this year, guide 904L stainless steel seamless pipe manufacturers to abandon the extensive development mode of winning by quantity, and make every effort to ensure the supply and price stability of bulk commodities. In March, affected by geopolitics and other factors, the international bulk commodity market fluctuated sharply and the price rose significantly, which also increased the upward pressure on the raw material end price of 904L stainless steel seamless pipe. The price of imported iron ore crossed the $150 / ton mark for many times, while the coke price was also affected by the high coal price, crossing the 3000 yuan / ton mark for many times. What's the price of 904L stainless steel pipe now? Please contact our sales for quotation. We have some stock in our warehouse. The material is 904L stainless steel seamless pipe, ASTM A312-2017 standard, and the size is ASME B36.19 standard, welcome to inquire.
Since this year, the raw material price of 904L stainless steel seamless pipe market in China has been maintained at a high position. Among them, the market price of imported iron ore and coke is strong. The Platts iron ore price index has increased from 119.5 US dollars / ton at the beginning of the year to 149.9 US dollars / ton at present, an increase of 25.4%; The price of secondary metallurgical coke in Tangshan has increased from 2660 yuan / ton at the beginning of the year to 3650 yuan / ton at present, with an increase of 37.2%; The price of scrap steel in Tangshan has increased from 3260 yuan / ton at the beginning of the year to 3510 yuan / ton at present, with an increase of 7.7%; In the same period, the absolute price index of Lange steel rose from 5023 yuan / ton at the beginning of the year to 5432 US dollars / ton, an increase of 8.1%. It can be seen that the strong price of mineral coke is the hard bottom to support the price of domestic 904L stainless steel seamless pipe. How can domestic 904L stainless steel seamless pipe manufacturers get rid of the dilemma of "high cost and low profit"?
One is to adjust the industrial structure of 904L stainless steel seamless pipe by reducing production. At present, China's economy is in a critical period of economic structure shift. From the economic data of the first quarter released by the National Bureau of statistics, it can be found that a series of real estate industry data such as the growth rate of real estate investment, the sales area of commercial housing and the area of new construction have declined significantly, and the demand for building materials has decreased significantly. Although the growth rate of infrastructure investment is relatively good, it only plays a certain supporting role in the demand for construction steel. The manufacturing industry has performed relatively well this year. In the first quarter, the added value of industries above designated size increased by 6.5% year-on-year, 2.6 percentage points higher than that in the fourth quarter of last year, showing a good trend of quarterly recovery. At the same time, the proportion of manufacturing industry further increased, which was 28.9% in the first quarter, an increase of 1.3 percentage points year-on-year, reaching the highest value since 2016. With the continuous growth of manufacturing investment, the demand for 904L stainless steel seamless pipe is increasing. Yesterday, the national development and Reform Commission put forward the requirement of "abandoning the extensive development mode of winning by quantity and promoting the high-quality development of the iron and steel industry", which shows that the state will adjust the industrial structure of 904L stainless steel seamless pipe and embark on the development road of transformation from "extensive type" to "fine type". Reducing crude steel output is only a means, but its ultimate purpose is to optimize and adjust the product structure of steel production enterprises with the changes of downstream demand, and the profits of steel enterprises will gradually increase with the increase of high value-added product lines.
The second is to focus on the future development of 904L stainless steel seamless pipe industry and control the industrial chain safety of 904L stainless steel seamless pipe industry. At present, the global iron ore market is an oligopoly market. Due to the distribution of global minerals, a large number of iron ore resources with high quality and low mining cost are mainly concentrated in the hands of the four major mines. China's domestic iron ore mining enterprises are facing many difficulties. In view of the current situation, in February this year, the national development and Reform Commission and the Ministry of industry and information technology jointly issued several policies on promoting the steady growth of industrial economy, pointing out that supporting domestic iron ore development, comprehensive utilization of recycled resources such as scrap steel and other policies will promote the diversification of the supply chain of 904L stainless steel seamless pipe industry chain, It is beneficial to improve the independent guarantee ability of raw material end of UNS N08904 904L stainless steel seamless pipe industry in China. With the gradual overcoming of difficulties in domestic iron ore development and the increase of domestic iron ore supply, steel enterprises will significantly enhance their control over the raw material end, which will also have a positive impact on the profits of steel enterprises.
On the whole, domestic AISI 904L stainless steel seamless pipe production enterprises need to face the dilemma of high cost, not only in the continuous deep excavation of product structure, but also in the independent guarantee ability of raw materials in the industrial chain, but also in the continuous innovation of smelting technology, so as to completely get rid of the strange circle of "increasing production without increasing income, increasing income without increasing efficiency".
FROM WORLDSTEELASIA