Steel association domestic steel and import and export market seminar pointed out - - the new development pattern of import and export work should be new ideas

"New ideas should be put forward for steel import and export under the new development pattern, and new arrangements should be made in combination with the requirement of 'accelerating the formation of a new development pattern with domestic major circulation as the main body and domestic and international double circulation promoting each other'."On September 9, China Iron and Steel Association Party Secretary, executive chairman he Wenbo pointed out in the domestic steel and import and export market seminar.

Organized by The Steel Association, this meeting aims to collect and listen to the opinions and Suggestions of various steel enterprises on the import and export work, effectively clarify the current import and export market situation, strive to form consensus, strengthen self-discipline, promote the steel industry import and export work more stable and orderly.

Ministry of Commerce, foreign trade department, deputy director of the 朱咏 to attend the meeting and put forward the opinions and steel association, four head respectively made titled "the running situation and trend of the domestic steel market" "China's steel import and export situation and to change and" retrospect and prospect of the international steel market, the overseas steel investment situation in our country and the influence of special reports;Senior business leaders and experts from a number of enterprises discussed and made Suggestions on steel import and export and related issues. Wang Deyang, director of the Foreign Trade Department of the Ministry of Commerce, responded to the concerns of the enterprises.The meeting was chaired by Luo Tiejun, vice President of Steel Association.

Representatives of participating enterprises agreed that in the second half of 2020, the steel market showed a pattern of "demand growth, sufficient supply, inventory decline but still at a high level, benefit decline but tends to be stable", and the overall operation showed a rising trend of shock, better than the first half of the year.

They generally believe that the steel market faces several problems: first, the epidemic is still spreading abroad, the global economic recovery is still subject to the impact of the epidemic;Second, economic globalization has encountered adverse trends, resulting in stricter environmental policies and increasing uncertainties.The third is the rising production costs of steel mills, the situation of tight raw fuel supply has not been significantly alleviated, Shandong, Hebei and other places "fixed production with coal", coke price bullish;Fourth, the "chronic diseases" such as low industrial concentration and lack of market self-discipline have not fundamentally changed.

To this end, they suggested to strengthen the steel market expectations of the positive guidance, advocate industry self-discipline;Strengthen communication with relevant government departments, strengthen monitoring efforts to prevent import surges;Further promote enterprise merger and reorganization, improve industrial concentration;Release scrap import as soon as possible to reduce the pressure of supply and demand of raw materials.

"At present, the supply and demand performance of the steel industry is generally normal, positive and healthy," he said in his concluding remarks.Then, he made three basic judgments on the supply and demand relationship and operation situation of the steel industry.

First, the current growth in output is mainly driven by demand.In the second half of the year, the factors supporting steel production are still in place. Steel demand will be higher than that in the first half of the year, but the increase in demand will decrease, and steel demand for the whole year may increase slightly.

Second, it is a process of continuous exploration and adaptation for the steel industry to seek a new balance in the current situation of market turbulence."The situation where production is stronger than consumption and supply is stronger than demand will continue for some time to come.This is something to be alarmed about, but not alarmed, because exactly what inventory status is appropriate for China's nearly 1bn tonne steel market will have different characteristics at each stage.""There is no doubt that capacity release needs to be disciplined and in line with market demand," he said.This is an inevitable choice to maintain a healthy supply and demand relationship, and is also the consensus of the industry.But to put it into practice, it first depends on the understanding and actions of the leading enterprises."

Third, the driving force of demand growth is staged, while the impact of capacity growth will be long-term. We must be firm in strictly controlling capacity."In recent years, new production capacity has been built faster than capacity has been withdrawn, posing a threat to the future healthy development of the industry and directly affecting market expectations," he added.It is true that demand is strong, but so is risk accumulation.At the same time, the market lacks sufficient understanding and information disclosure of large-scale production capacity withdrawal, and the public opinion is too focused on new production capacity and ignores the actual situation of production capacity withdrawal, which needs to be improved and corrected.China is implementing an unprecedented capacity renewal program, and both China and the world need to understand the reality of this historic process."

For the current import and export situation and tasks, he put forward six aspects of views and requirements.First, to the new development pattern of iron and steel import and export work to have new ideas;Second, the stage of crude steel net imports to have a correct understanding;Third, we should have a new understanding of the import of resource products.Fourth, long-term and specific arrangements should be made to promote the export of high value-added products.Fifth, new measures should be taken to safeguard industrial interests in the turbulent international situation.Sixth, in the long run, trade remedies are a "double-edged sword". Improving enterprises' competitiveness is the fundamental solution, and there is much room for reducing institutional costs.

Finally, He Wenbo also from the perspective of market analysis, international exchanges and other aspects of the next import and export work to make arrangements.