The main tasks of private steel enterprises in 2020

1. Unswervingly implementing the new concept of development and accelerating the pace of high-quality development
Unswervingly implement the new development concept, always adhere to the purpose of high-quality development,which is the basic principle of private steel pipe suppliers. Next year, the economic downward pressure will increase, the steel reduction period, the new production release period overlapping, the steel enterprises will face a greater test, has reached the steel industry high-quality development of the key period.

First, fully understand the new characteristics of the new period of iron and steel industry development.We will focus on improving the quality of development, focus on transformation and upgrading of hollow section manufacturers, shift to green and sustainable development, and shift to variety structure adjustment and product upgrading. Second, we must be fully prepared for difficulties. According to the overall situation analysis, the steel industry may encounter greater difficulties in the second half of next year, demand will decline, competition will be more fierce, enterprises should be good at turning the test into opportunities.

2. Taking the initiative to control excessive production growth
Thanks to our efforts, the supply and demand of the round steel pipe for the whole year of 2019 has reached a general balance. It is estimated that steel production will reach 995 million tons, 67 million tons more than that of 2018, and the output will increase by 7.0%. Pig iron production is expected to rise 3.8% to 800 million tons. Steel production is expected to reach 1.2 billion tons, with an increase of 94 million tons, or 9.1%. The problems of the excessively rapid increasing of the production, have taken place, including improving smelting intensity, reducing smelting time, increase the proportion of scrap steel, improve the adjusting production process, even if the original device does not transform, production capacity increased by more than 30% on average. At the same time, more than 80 million tons of new production of square steel pipe will be put into operation next year. Private enterprises should enhance their self-restraint ability, fully understand that the steel industry is in the stage of reduced development and reduce the impulse of capacity expansion.We responded positively to the requirement that new production capacity be strictly prohibited, and implemented the national spirit of limiting production capacity and closing down backward production capacity. 2020 will be a crucial year in the battle for blue skies. Private enterprises should see the gap. Only one of the steel enterprises in China has reached the a-level emission standard, and most of them are at the c-level. Some enterprises even fail to meet the emission standard.