“Linking the past to the next” iron ore price remains the focus(Stud bolt and nut)
“At the recently held 2024 China Steel Market Outlook and “My Steel” Annual Conference, He Wenbo, Secretary of the Party Committee and Executive Chairman of the China Iron and Steel Industry Association, said.
Looking forward to the direction of China’s steel market in 2024, Wang Jianhua, chief analyst of Shanghai Ganglian Steel, predicts that the domestic steel industry is more likely to increase both supply and demand in 2024. In addition, facing the pressure brought by high iron ore prices on the industry, the heads of many steel companies have called for joint efforts to reduce production to ensure industry profit levels.
Steel exports are expected to decline year-on-year in 2024, and demand for steel for shipbuilding and other purposes may increase.
Steel exports may decline in 2024, but we continue to be optimistic about the demand for steel in industries such as shipbuilding, steel structures, and new energy.(Galvanized Threaded Rod Fastenal)
He Wenbo said that total steel consumption has reached its peak, and a decline in total steel consumption is an inevitable trend. Although the demand for steel in real estate has declined, the demand for steel in industries such as automobiles, shipbuilding, and home appliances has increased, making up for the shortfall in total volume.
Ren Zhuqian, a senior researcher at Shanghai Steel Federation, predicts that China’s steel consumption in 2024 will remain the same as in 2023 and slightly increase (a year-on-year increase of 0.2%). The apparent consumption of crude steel in 2024 is expected to be 944.6 million tons.
Iron ore supply and demand may ease in 2024(Chemical Anchor Bolt)
As an upstream raw material for the steel industry, my country’s iron ore is highly dependent on imports. since this year. The price trend of iron ore has remained high and volatile, and its price performance in 2024 will continue to become the focus of the industry.
Ren Zhuqian believes that iron ore supply will be slightly loose. Global iron ore production is expected to be 2.532 billion tons in 2024, a year-on-year increase of 62 million tons, of which China will increase by 15 million tons year-on-year. Global supply will exceed consumption by 35.5 million tons. Considering that iron ore will be depleted significantly in 2023, there will be a slight accumulation of iron ore in 2024.
Huang Jianzhong, senior manager of the strategic planning department of China Baowu Iron and Steel Group Co., Ltd., believes that iron ore prices have little to do with supply and demand and are mainly affected by factors such as technology, finance, and supervision.
Industry insiders call on steel industry to reduce production(Galvanized Steel Strut Channel)
Industry insiders call on the steel industry to still need to self-discipline and reduce production in 2024.
“Effective growth is an inevitable requirement for high-quality development.” He Wenbo believes that the steel industry must focus on the fundamental task of improving industrial basic capabilities and industrial chain levels, adhere to the two major development themes of green development and intelligent manufacturing, and focus on solving the problem of controlling production capacity expansion. The three major industry pain points, promoting industrial concentration and ensuring resource security, continue to promote the internationalization process of China’s steel industry.
“Chinese steel companies have enriched overseas mines and subsidized overseas downstream users, which has made them suffer.” Wang Jianhua said that in 2023, the sales profit margin of the steel industry (smelting and rolling processing) will be the last among major industrial industries, and the loss area of the steel industry will also be The profit per ton of steel is negligible, almost at the worst level in history, and the debt ratio is rising against the trend. If the industry’s production cuts are difficult to implement, the excess situation in the steel industry may intensify in 2024.
Post time: Jan-24-2024