Analysis of the Development Prospects of China's Steel Market in the Second Half of 2012

When China’s macroeconomic policies tend to “steady growth”, the real economy is mentioned in a more important position under the pressure of economic downturn. It is precisely because of this that the development of the real economy and small and medium-sized enterprises will play a more important role in “steady growth”. . According to statistics, HSBC China's manufacturing PMI jumped to a five-month high in July, and manufacturing activity improved modestly. This means that early-stage policies have begun to show significant effects and the real economy has shown signs of stabilization.

At the same time, the adjustment of the industrial structure of the real economy is still in a period of pain, and the resulting financing difficulties, personnel employment, technological innovation, and restructuring of the industry will all be inevitable for each industry and enterprise. problem.

The steel industry in the second half of the year or continued sluggish last week saw a sharp drop in domestic steel prices, and the pace of falling steel prices has not yet stopped in the first two trading days of the week. Data show that on July 24, the national average price of high-quality secondary rebar 25mm is 3845 yuan/ton, down 49 yuan/ton; the 6.5mm high-line is 3899 yuan/ton, down 50 yuan/ton.

It is reported that domestic steel prices have continued to decline since mid-April and have stabilized slightly in June, and have suddenly accelerated again after entering July. The decline in steel prices has become the main feature of the recent steel market, and this is mainly due to a serious overcapacity and continued weak demand. On the one hand, steel prices have been falling. On the other hand, the losses of iron and steel companies are also expanding.

Despite the huge decline in steel prices in the short term, the market remains pessimistic about whether steel prices can stabilize. Jin Mo network CEO Luo Baihui believes that in the short term, steel prices are still in the bottoming stage, the domestic steel market is expected to gradually improve in the third quarter, but the fundamental contradiction between supply and demand facing the industry is difficult to achieve in the short term, steel mills still face difficulties in production cuts The sharp drop in raw material prices has also led to a further weakening of the steel price support. The domestic steel industry's “high capacity, high cost, high inventory, and low efficiency” is difficult to reverse in the short term, and the steel industry may still be in a meager situation in the second half of the year.

On July 24th, HSBC China Manufacturing Purchasing Managers' Index (PMI) data showed that the value rose to 49.5 at the beginning of July. Although it is still below the line, it is already the highest value in five months. This means that the previous easing policy has begun to show significant effect, and the stimulating effect of continuous interest rate cuts has penetrated into the real economy.

Although the improvement of the economic environment will inevitably contribute to the balance between supply and demand for the steel industry, it is still necessary to make targeted adjustments to the industry by completely changing the excess capacity of the steel industry. When demand is difficult to change, the industry generally hopes to reduce production to improve supply and demand. At present, the timing of this indication will be postponed again. If the output still cannot be reduced, the steel market will only wait for a slight improvement in the demand driven by the policy.

Metallic Anchors

Anchoring parts refer to the components used to connect the overall refractory lining, refractory prefabricated parts, refractory fiber felt and furnace shell or furnace steel structure. The function of the anchor is to fix the connected lining in a certain position to resist static load, thermal stress, mechanical rotation or vibration. The anchors help prevent the material from collapsing before the ceramic bond forms during construction and heating. It also helps to uniformize the shrinkage of the material and avoid the formation of large, concentrated cracks in the lining.

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