The contradiction between supply and demand of stainless steel with still - obviously Tianjin stainless steel co. , LTD

Since this year, the contradiction between supply and demand of stainless steel band is still obvious; Although China before August crude steel output in data year-on-year growth is slowing, but production has decreased from the same period a year earlier, but steel market prices in accelerated decline, can see how the deficiency of the current domestic demand. Is affected by the weak domestic economic growth and real estate industry, the domestic steel demand continues to shrink, the downstream and intermediaries with the activity is not high, steel inventory backlog is serious, the obvious contradiction between supply and demand, steel prices also fell. In addition, the steel prices falling at the same time, raw material prices fall speed is quick, steel price and profit year-on-year increase in iron and steel industry. HSBC, 23, according to the initial value of the PMI published in September in China manufacturing PMI preview value slightly back up to 50. 5; This is the index for the fourth month in a row located above the break-even mark, far more than expected. Experts said the PMI stabilization may be associated with directional stability growth and external demand to improve, but the domestic demand is still weak, the economy downward pressure remained; Component data, including new orders and new export orders index recovered, shows that directional stability increases gradually work, aggregate demand improved, short-term economic downside risks temporary relief; But also not too optimistic, the input and output price index fell to half a year, low pressure show that the excess capacity and the real estate market downturn, galvanized round steel manufacturers still faces downward pressure.
steel demand downturn due to domestic economic slowdown, the first seven months of this year, China's crude steel apparent consumption rose - 0. 3%, the emergence of 'rare' fell for the first time in recent years; Domestic demand is insufficient, which leads to many steel mills will look overseas markets, triggering appear exports soared; But the current of advantages in the export of steel products is mainly because the product price is low, so some steel mills in export tax rebates, implements the 'hidden rules' has higher profits, it also become a handle, and increased double backpressure, increasing trade friction; Therefore, steel companies want to continue to profits on exports, stainless steel belt export must change concept, can't keep the price as advantage, to actively promote own product specifications and quality.
although the national new steel capacity shall be strictly forbidden, but steel production capacity has been around the flux v, in order to seize market share, steel production enthusiasm unabated, crude steel output reached record high. And in the case of weak domestic demand, can only intensify exports. Although since this year, steel export performance is good, but the price is low, the problem such as trade friction, is not conducive to China's steel exports long-term healthy development. At present, China's economy is undergoing a structural adjustment, economic growth is slowing, the main stainless steel as a real estate industry, shipbuilding, electrical appliances and so on all has not walked out of the downturn in full and the market, the demand for steel is gradually reduced. Excess supply and with the increasingly serious, both ore price and steel prices have new lows, the future market is still not optimistic.