Promoting industry development and improving centralized advantages

China is a kind of country boasting a big steel industry, and the output of steel in 2014 is equal to that of other countries in the world especially for the erw round steel tube. The rapid development of steel industry has promoted the development of steel pipe and other downstream industries. Steel pipe manufacturers have sprung up everywhere, which has promoted the development of steel pipe industry and technological innovation. In several provinces across the country, the local government make the steel pipe industry a leading part, mapping out various preferential policies to build the multiple steel pipe manufacturers centrally. This also can solve the problem of scattered distribution as well as concentrated disadvantages.

In the construction of infrastructure, the demand for steel pipe differentiation is increasing obviously and the types of steel pipe as the change of demands also result in new changes in the steel pipe market from the traditional square steel pipe, round steel pipe to various shapes such as rectangular hollow section. These changes can satisfy the demands of a growing infrastructure construction. In the case of such differentiated demands, it is increasingly important for the steel pipe manufacturers to concentrate their advantages. For steel pipe suppliers who locate in same place can realized diverse production mode, thus avoiding the malign competition of the same area. In addition, local government can ban cut-throat competition strictly where pipe companies distort the pipe product such as square steel pipe in terms of product quality from counterpart including advocating the “unsustainable development” fallacy. As a matter of fact, by dint of a good command of publicity and showmanship, Tianjin steel pipe suppliers are drawing more and more attention from customers worldwide.

As we all know, price war waged by some unscrupulous merchants is quickly tuning into an object lesson in the wages of lacking cooperation awareness. So improving centralized advantages of steel pipe manufacturers is very necessary. By cooperation, steel pipe enterprises are confident and capable of facing any challenges. At the same time, centralized production among steel pipe manufacturers is crucial to the management of government in excessive production, resource waste and excess capacity. Besides, centralized advantages also embody in the influence on the publicity. When a region making steel pipe industry as the leading industry, it will become a city business card, forming a scale benefit. In turn, the development of the steel pipe industry has been promoted.