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The 3rd Presidents' Joint Meeting and Council Meeting of the 10th China Special Steel Enterprises Association held in Shanghai

The 3rd Presidents' Joint Meeting and Council Meeting of the 10th China Special Steel Enterprises Association held in Shanghai
November 05, 2024

From November 4 to 6, the 2024 China International Special Steel New Materials Summit Forum and the 2024 China International Special Steel Industry Exhibition were held in Shanghai. At the same time, the 3rd Joint Meeting of the 10th Presidents and the Council Meeting of the China Special Steel Enterprise Association (hereinafter referred to as the Special Steel Association) was held in Shanghai on November 4th. Qian Gang, Deputy Secretary and President of CITIC Pacific Group, Secretary and Chairman of CITIC Pacific Special Steel Group; Zhang Zhixiang, Chairman and President of Jianlong Group; Chen Yuqian, Deputy Secretary-General and Director of the Industrial Operation Department of the China Iron and Steel Association, and others attended the meeting.

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At the 3rd Council Meeting of the 10th Special Steel Association, Wang Shifeng, Vice President of Jianlong Group and Chairman of Xining Special Steel, delivered a welcome speech, Party Branch Secretary and Executive Chairman Wang Wenjin made a work report of the Special Steel Association, Secretary-General Liu Jianjun made a work report of the Secretariat, and Wang Jianhua, Chief Analyst of Shanghai Steel Union, made a special report. Wang Wenjin and Liu Jianjun presided over the President's Joint Meeting and the Council Meeting respectively.

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Wang Wenjin introduced the operation of the special steel industry in 2024 and the next work priorities of the industry. From the perspective of the industry's operation, first, the supply and demand of crude steel output of high-quality special steel remains balanced and stable, and the product structure continues to adjust to high-end. According to statistics from the Special Steel Association, the output of special steel (29.07 million tons) of member units of the Special Steel Association in the first three quarters increased by 8.2% year-on-year, and the output of special quality alloy steel increased by 1.3% year-on-year. Second, the main efficiency indicators of special steel enterprises have all declined, and operating pressure has increased. According to statistics from the Special Steel Association, 19 of the 26 major special steel enterprises have seen a year-on-year decline in profits, 9 have suffered losses, and the industry's loss rate is 34.6%. Third, product exports continue to improve, but there has been a phenomenon of increased volume and falling prices. In the next step, the special steel industry will focus on promoting industry self-discipline, industry benchmarking, strengthening communication with relevant government departments and actively seeking policy support, international exchanges and cooperation and other key tasks.

 

Wang Wenjin also pointed out that at present, my country is in a critical period of promoting Chinese-style modernization. With the transformation of the domestic economic development structure, the traditional demand for construction steel has entered a downward channel, and the advancement of manufacturing to high-end fields has opened up a new development space for the special steel industry. But at the same time, with the strong development momentum of the general steel industry's "general to superior, superior to special", the supply of traditional rod and wire products has increased significantly, and it is necessary to focus on preventing the risk of overcapacity. He said that in the context of coexistence of opportunities and risks, the development of China's special steel industry has entered a new track. The focus of enterprise development is shifting from pursuing scale benefits to continuous improvement of varieties, quality and costs. Product refinement and higher quality will become the key path for the development of the special steel industry; enterprises need to uphold the principles of market fairness and integrity, strengthen self-discipline, and avoid involutionary vicious competition; industry mergers and reorganizations are still on the way, and the market survival of the fittest mechanism should be further strengthened to achieve healthier and more sustainable development.

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At the third joint meeting of the 10th presidents of the Special Steel Association, representatives of the president unit and vice president units of the Special Steel Association elected Zhao Fazhong as deputy secretary-general of the Special Steel Association in accordance with the procedures. They introduced the production and operation status of their respective enterprises and the next work priorities, analyzed the future operating trends of the special steel industry, and gathered wisdom and strength to provide suggestions for the high-quality development of the industry.



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