In recent years, the negative news of the steel trade industry has caused great harm to the steel traders, and many people are afraid to avoid it. Especially in 2014, steel trade disputes erupted. Some steel traders, under the circumstances of continuous decline in the market and tight capital chain, financed by illegal means, eventually led to the breakdown of the capital chain. "What should be eliminated are those steel traders who are lucky, those who want to fight with opportunistic means and management methods. In fact, this has deviated from the direction of enterprise development and will inevitably be eliminated by the market.
The situation remains grim in 2015. Because the basic problem restricting the development of the industry - overcapacity, will not be fundamentally solved in the short term. "Especially when the domestic economy is in the downward phase, it is even more impossible to make a substantial adjustment. Therefore, in 2015, we will not see a fundamental change in the problem of oversupply and overcapacity in the steel pipe industry." Ren Qingping said. But at the same time, he also said that the new Environmental Protection Law was formally implemented on January 1, 2015. With the increasing environmental pressure, the pressure on low-end production capacity will be further increased, which is good for the whole market.
But it is the so-called "death followed by birth". In 2014, the price of large-caliber steel pipe fell below 3000 yuan/ton, and now it is stable at 2600 yuan/ton. Raw material prices have basically reached the bottom, and steelmaking costs have no room for a substantial decline. Therefore, the price of large diameter steel pipe in 2015 will be more stable. This means less risk for steel traders.
After more than a year of shuffling, the number of enterprises in the steel trade industry has greatly decreased. "These remaining steel traders will surely feel painful and will not repeat the same mistakes. From the bank's point of view, those enterprises with qualifications who do better in management, operation and risk control should still be given a certain opportunity. Ren Qingping firmly said, "For steel traders, although the situation in 2015 is still grim, it will not be worse than in 2014. The remaining steel traders should be able to seize the opportunity of 2015.