Steel production capacity

We will further optimize the structure of steel production capacity
Analysts believe that, in a comprehensive view, the implementation of the plan, for the domestic steel industry supply and demand of welded steel pipe will have a positive impact on both. On the one hand, from the perspective of supply, the capacity expansion of steel production enterprises will be further limited, and the structure of steel capacity will be further optimized.

Analysts said the plan proposes strict access to projects with high energy consumption and high emissions, especially for the steel and coking industries, with more explicit restrictions on capacity expansion, and strict implementation of equivalent or reduced capacity replacement for hot rolled steel pipe. At the same time, it also requires strict access to high energy consumption and high emission projects, and new construction, reconstruction and expansion projects should adopt advanced and applicable technology and equipment. For the current development stage of the domestic iron and steel industry, vigorously promoting the whole scrap electric furnace process will be the best solution to replace the existing blast furnace iron making process.

On the other hand, from the point of view of demand, there will be an obvious driving effect on downstream demand, especially for the upgrading and replacement demand of related equipment. The plan proposes to actively promote the replacement of clean and low-carbon energy and industrial waste heat for industrial furnaces, coal-fired power plants and coal-fired boilers that use coal, petroleum coke, heavy oil and residual oil as fuels. At the same time, it also requires 100 enterprises in the steel, coking, building materials, non-ferrous metals, petrochemical and chemical industries to be selected to implement cleaner production transformation projects. The gradual implementation of these equipment upgrading and replacement and transformation projects will have a certain driving effect on the square steel tube for sale used for machinery and equipment and steel used for construction.

The new water consumption per ton of steel decreased by 2.32%; Chemical oxygen demand decreased by 8.20%; Sulfur dioxide emissions decreased by 18.68%. Under the targets of “double control” of production capacity and output, “double control” of total energy consumption intensity and “double carbon”, the steel industry is required to reduce the amount of development. China’s steel industry has entered a new stage of development. We should take advantage of the opportunities brought by the country to build a strong domestic demand system of China hollow section tube and promote the formation of a new pattern of dual-cycle development for the steel industry, actively adapt to changes in downstream demand, and accelerate the realization of ultra-low emissions. Strengthen cooperation between upstream and downstream of the industrial chain, promote green design products, promote green consumption, and jointly plan for low-carbon transformation of steel and iron.