Other raw materials price increases of iron and

by:Sinowon     2020-12-29

But last year, the average annual 85 iron and steel enterprises steel prices only rose by 11.83 percent, mainly due to cost factors, Iron and Steel Association member companies average sales profit rate of only 2.42%, down 0.59 percentage points, far below the same period The average level of profits of industrial enterprises above the designated size. 'In particular, last year in October, November and December, the month breakeven member companies realized profits were only 1.4 billion RMB, 1.2 billion RMB and 30 billion, the average sales profit rate of only 0.48%, 0.43% and 1.04 % less part of the corporate investment income, profits increased influence of non-steel industry, iron and steel industry in the fourth quarter basic loss situation in the entire industry.

In the context of industry losses, China's steel production declined According to the National Bureau of Statistics, last year, China's pig iron, crude steel and steel products (including duplicate material) output of 629.69 million tons, 683.27 million tons and 881.31 million tons, respectively, an increase of 8.4%, 8.9% and 12.3%. Which our country since the highest level reached 1.9977 million tons of crude steel day of June, the second half of July to November crude steel average daily production for five consecutive months qoq decline in December than in November rose slightly, but also throughout the year second only to the lowest level in November. '

Represented by China, the slowdown in global steel demand, steel production decreased rather than increased, due to market factors, this phenomenon is a signal of iron ore oversupply situation has been formed.

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