How does the domestic steel industry escape the "worker" cycle?

In recent years, with the crazy rise in raw material prices, especially imported iron ore prices, China's entire steel industry has been hanged the name of “worker”, so that the steel industry that originally entered the era of low profit is even more for others. The cup of the wedding dress. Analysts in the steel market pointed out that the use rate of internal mines is low, the taste is low, the mining degree can not keep up with consumption, coupled with the prevailing import and quality psychology, so that the three major mines such as Vale almost dominate the Chinese market, the price of minerals The lack of power and the failure of the relevant departments of the China Iron and Steel Association and other related departments have created an arbitrary price hike by foreign miners, which eventually led to the current domestic steel industry falling into the current crisis. According to the latest data released by China Steel Association, the steel producers in the first half of this year realized a profit of 56.374 billion yuan, an increase of less than 6 billion yuan year-on-year; the import of iron ore in the first half of the year was 33.425 million tons, due to the sharp increase in import prices, the foreign exchange expenditure 160.1726 One hundred million U.S. dollars. According to the average exchange rate of RMB against the US dollar in the first half of the year, the cost of the steel industry was increased by 104.11 billion yuan. From the perspective of market operation, the domestic steel industry continued to develop at a relatively fast pace in the first half of the year, but why did the profit grow so slowly? Analysts believe that the long-term subject to the unreasonable rise in the price of foreign mines can only be passively accepted. The steel industry can't get rid of the control of the three major mines in the short term, and the fate of others' printing presses is hard to change. The dependence of ore, the domestic steel industry can only struggle in the meager profit. The price of iron ore sold to China by the three major mines has been mainly based on Platts' iron ore price index, which was compiled and released by overseas commercial organizations and seriously deviated from the actual operation of the Chinese steel market. Prior to this, the domestic steel industry has been in a loose sand operation mode. The major steel mills are in charge of each other. Although there is coordination among the Sinosteel associations, it is also a lot of smuggling, and there are few practical matters, which directly lead to the lack of foreign iron ore procurement in the domestic steel industry. At the same time, the three major mines are exceptionally strong. They have forcibly pushed the annual price index--quarter price index--monthly price index in the price of minerals. Even in the first half of this year, the monthly price was released to the later stage to invite domestic steel enterprises to bid. Auctions; but Chinese steel companies can only be forced to accept. In the future, the situation may be improved. The steel cost analyst of China Steel Spot Network said that the “China Iron Ore Price Index”, which was prepared by China Steel Association, will be put into trial operation in August, and will start from October. Segment introduced the actual iron ore price index in the domestic market. Although it is still not possible to control the price of the mine, it has a reference basis for a proactive initiative for future price negotiations. A price index that belongs to us is far from enough. Whether others admit that your authority can overthrow everything, the Chinese steel industry must truly save itself if it wants to achieve "autonomous"; and the merger and reorganization within the industry optimizes the whole The production capacity structure of the industry is the fundamental avenue; through the strong combination of the steel enterprises in the industry, it is strong and weak, and only the two steel plates that are now large in the country but like a loose sand and cohesive steel are condensed together to form steel. The grouping and scale of enterprises and the enhancement of their own competitiveness can change the fate of “workers”.

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