The hottest pressure is transferred to dealers, an

2022-09-21
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Pass on the pressure to the dealer Steel's first quarter profit or recovery

pass on the pressure to the dealer Steel's first quarter profit or recovery

China Construction machinery information

Guide: on April 8, according to the data of China Steel Association, the average daily crude steel output of member enterprises in late March was 1.6758 million tons, with a month on month increase of 0.49%, and the steel enterprises increased slightly. Despite the poor market demand in the first quarter of this year, the ex factory price of steel mills has generally increased, and the cost increase is relatively limited. It is expected that the overall profit recovery of the industry can

on April 8, according to the data of China Steel Association, the average daily crude steel output of member enterprises in late March was 1.6758 million tons, with a month on month increase of 0.49%, and steel enterprises increased slightly

despite the poor market demand in the first quarter of this year, the ex factory prices of steel mills have generally increased, and the increase in costs, such as the tolerance zone of 0.8mm, is relatively limited. It is expected that the overall profitability of the industry is likely to rebound. Due to the decline of steel prices in the end market, the wholesale and retail prices of steel are seriously inverted, and the pressure on traders to lose money is increasing

transfer pressure to dealers

as of April 8, data statistics showed that among the 36 companies in the iron plate of steel mutual cooperation, 16 had issued annual reports, 6 had losses and 10 had profits. Hu Hao, an analyst in the steel industry at Galaxy Securities, believes that many of the companies that have announced their results are relatively profitable, and it is expected that other companies may suffer more serious losses

Galaxy Securities predicts that due to the general increase in the ex factory price of steel mills in the first quarter and the relatively limited cost increase, it is expected that the overall profitability of the industry is likely to rebound. As for the second quarter, the possibility of seasonal demand recovery is still high, and the probability of seasonal increase in foreign ore shipments is high. In addition, the industry showed weak signs of production reduction in the short term, which supported the performance of the steel industry

however, some people in the steel industry told the China Securities Journal that they should not just look at the surface. In the first quarter of this year, the whole market and industry were too optimistic about the demand for steel. The steel mills tried their best to raise the factory price, while the steel price in the terminal market was falling, which has been showing a wholesale and retail upside down. Traders suffered large losses. The profits of the steel mills were obtained by transferring pressure to dealers in the medium and short term

in January this year, the large and medium-sized iron and steel enterprises according to the statistics of the iron and Steel Association achieved a profit of 1.338 billion yuan, and a profit of 998 million yuan in February. Due to the weak consolidation of steel prices in March, and the steel mills began to use the mine with high noise in the early stage, and the noise of the equipment is very low, it is expected that the operating pressure will continue to increase in the month. For this reason, some steel mills have increased the intensity of maintenance and production reduction, and reduced the inventory of raw materials

crude steel output remained at a high level

on April 8, according to the latest data of China Steel Association, the average daily crude steel output of member enterprises of China Steel Association in late March was 1.6758 million tons, an increase of 0.49% month on month; It is estimated that the national average daily output is 2.0719 million tons, with a month on month increase of 0.40%

industry analysts believe that in late March, the member enterprises of the Steel Association showed signs of a small increase in production, which may be related to the recent stabilization of steel prices and the rebound in peak season demand. At the same time, the recent decline in fuel prices has also eased the cost pressure of steel mills to a certain extent

throughout March, the average daily output of crude steel in China was 2084600 tons in the first ten days, 2063700 tons in the middle days and 2071900 tons in the last ten days, all standing above 2million tons. In March, the actual steel output reached about 63 million tons. In 2012, China's crude steel output was 717 million tons

from the perspective of the whole iron and steel industry, the recovery of terminal demand is slow, and the prices of steel, ore and coke fell rapidly during the month, and the market entered the "de Stocking" stage. According to my steel data, the steel index in March was 915.9, down 9.6% year-on-year and 2% month on month, mainly due to the slow recovery of demand and the high supply and inventory

according to monitoring, after a slight rebound in the price of rebar in Shanghai, Hangzhou and Nanjing markets in mid March, due to the continuous high domestic steel production and slow destocking, the price of rebar fell again

analysts believe that the strong expectation of the market for the improvement of demand has been constantly revised. The plan to loosen in advance is to end the installation and commissioning of the ore price at the end of 2014, which increases the risk of subsequent steel price decline. The spring of profit for steel enterprises this year is particularly short, and it is suggested that the market avoid risks in a short time

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