In 2015, the Chinese steel manufacturers faced double challenges. On the one hand the economic slowdown lead to decreased demand domestically and a historical low price in the market. On another hand the web internet and mobile internet had changed steel industry in China. Internet has a deep influence on the marketing, R&D, production, logistics and business management almost every aspects in steel industry. Nowadays, steel manufacturers have to adapt to the economic slowdown and also the changes of technology.
In order to face the double challenges, there are five comments brought up by our president:
1. Sense of Crisis. It is very necessary to be prepared for any emergency, such as economic slowdown, decreased market demand, decreasing market price ect.
2. Pay attention to the corporate management. Try to find a balance among profits, cash flow, future development. Only the profitable enterprises have the confidence to invest future development and professionals. Only the healthy and sufficient cash flow create the possibility to get through any economic slowdown or unstable market demand.
3. Improve the ability to innovate. The world is changing, technology changes the way to do business. Therefore, enterprises should innovate in various places, such as new products development, customer services innovation, new technologies applied in production ect. Innovation is the only way to maintain the prosperity of a enterprise, experiments will always lead the company pass through any challenges.
4. Optimize and enhance a unique business mode. Unique business model means the most suitable business type that competitors can not take away from you.
5. Fully embrace the Internet. Taking advantages of the new technolgoy to change the way we communicate.
Showing posts with label carbon steel pipe market price in China. Show all posts
Showing posts with label carbon steel pipe market price in China. Show all posts
2015/11/17
Chinese Domestic Steel Market Will Continue to Decline in November.
The domestic market in October
The overall domestic steel market in China has declined weakly in October, so does the market price. The market demand has stagnant during the Chinese National Holiday in October, however, the production capacity has maintained in normal. After the Chinese National Holiday, the market needs and supply still maintained in a unbalanced level.
The domestic market in November
In November, the north of China will gradually into the construction season, the market demand will be more sluggish. Most of steel products will be provided in the Southern Chinese Market. In November, Platts Index has probed to $ 45 -50 again. Continued weakness in the manufacturing PMI and PPI continued to decline. The economy is facing structural deflationary pressures, despite the recent approval of the steady growth of centralized projects, but in the case of project funds are not in place does not show the actual results. Therefore, in November, the steel market will continue to decline in China.
The reason that influence the steel market downturn.
1. The macroeconomic downturn, the market demand into the off-season.
2. Loose monetary policy continues lead to difficult industrial financing.
3. Steel supply over demand, it is very difficult for manufacturers to cut the production capacity immediately.
4. The manufacturers gained pressured from the in stock steel products.
5. Steel industrial trade deficit has increased. The manufacturers has a strong willingness to increase the market price.
The overall domestic steel market in China has declined weakly in October, so does the market price. The market demand has stagnant during the Chinese National Holiday in October, however, the production capacity has maintained in normal. After the Chinese National Holiday, the market needs and supply still maintained in a unbalanced level.
The domestic market in November
In November, the north of China will gradually into the construction season, the market demand will be more sluggish. Most of steel products will be provided in the Southern Chinese Market. In November, Platts Index has probed to $ 45 -50 again. Continued weakness in the manufacturing PMI and PPI continued to decline. The economy is facing structural deflationary pressures, despite the recent approval of the steady growth of centralized projects, but in the case of project funds are not in place does not show the actual results. Therefore, in November, the steel market will continue to decline in China.
The reason that influence the steel market downturn.
1. The macroeconomic downturn, the market demand into the off-season.
2. Loose monetary policy continues lead to difficult industrial financing.
3. Steel supply over demand, it is very difficult for manufacturers to cut the production capacity immediately.
4. The manufacturers gained pressured from the in stock steel products.
5. Steel industrial trade deficit has increased. The manufacturers has a strong willingness to increase the market price.
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