The hottest steel industry is in a cold winter. St

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The iron and steel industry is deeply in the cold winter, and the steel enterprises are self-help and sideline

the iron and steel industry is deeply in the cold winter, and the steel enterprises are self-help and sideline

China Construction machinery information

in the face of the continuous downturn of the steel industry in 2015, many steel enterprises choose sidelines to make a living, and even quit the steel industry. Recently, Shagang Co., Ltd. (23.57,0.00,0.00%), the listing platform of Shagang Group, the largest private steel enterprise in China, announced that the company would enter the new energy vehicle market. At the same time, China Hong Kong China Travel Service Group Corporation (hereinafter referred to as "Hong Kong China Travel Service") decided to withdraw from the steel industry, becoming the first central enterprise to announce its withdrawal from the steel industry. In addition, Baosteel had previously announced that it would enter the Internet home industry. The industry believes that at present, the domestic steel industry has a serious overcapacity and is difficult to make profits in the short term, which also leads to many steel enterprises to protect the overall interests of enterprises through sideline or withdrawal. However, for steel enterprises forced to cross the border, the pressure will not be reduced. At the same time, the lack of competitiveness may make enterprises have greater risks in new industries

On December 9, Shagang Co., Ltd. issued an announcement on the progress of major asset restructuring, indicating that the company will be involved in the production, research and development, and sales of new energy vehicles. This is the first time in five months since Shagang announced the suspension of trading to disclose the company's major restructuring project. Statistics show that Shagang Group, the controlling shareholder of Shagang, is the largest private steel enterprise in China, and its crude steel output ranked sixth in the world in 2014

coincidentally, a few days ago, it was reported that Hong Kong China travel service, one of the four domestic funded enterprises stationed in Hong Kong, released the "announcement of China Hong Kong China Travel Service Group Corporation on free transfer of major assets" on December 7, and planned to transfer 58.49% of the equity of Tangshan Guofeng iron and Steel Co., Ltd. and 35.09% of the equity of Tangshan Dafeng Coking Co., Ltd. to Hebei SASAC [Weibo] for free, so as to completely withdraw from the iron and steel industry

according to the data, Hong Kong China Travel Service is a central enterprise supervised by the SASAC [Weibo]. By the end of 2014, the company had total assets of 100.9 billion yuan and operating income of 50.68 billion yuan, covering tourism, hotel, finance, steel and logistics business segments

Baosteel, which announced its involvement in the Internet home in October this year, moved earlier than the above two enterprises. It is understood that Baosteel Engineering Technology Group Bao, a subsidiary of Baosteel, has adopted a 24 bit a/d conversion single-chip microcomputer collection system steel architecture. Previously, it signed strategic cooperation framework agreements with Haier home's Youzhu, Luther robot (72.910,1.11,1.55%) and Beijing Jianyi group, and tried to create a "smart home" driven by the "green, intelligent and sustainable" living concept

as for the cross-border and even exit actions of steel enterprises, some insiders said that this is mainly to make up for the overall profitability of enterprises. Serious overcapacity and sluggish demand have led to serious losses for steel enterprises, and cross-border or even exit is mainly based on the overall performance of the enterprise

the steel industry is in a deep winter

in fact, the Ministry of land and Resources announced yesterday that the China Metallurgical Planning Institute issued a report clearly admitting that there was a large deviation between the previous prediction of this year's steel consumption and the actual situation. The latest data show that China's steel consumption in 2015 was 668 million tons, a year-on-year decrease of 4.8%, 32 million tons lower than the predicted value of 700 million tons, which is also the first decline in China's steel consumption since 1995

at the same time, in terms of enterprises, the China Iron and Steel Association previously announced that the losses of iron and steel enterprises are becoming increasingly serious. Data show that in the first three quarters of this year, the total revenue of 101 large and medium-sized steel enterprises counted by the steel association was 2.24 trillion yuan, a year-on-year decrease of 19.26%; The total profit was a loss of 28.122 billion yuan, of which the main business suffered a huge loss of 55.271 billion yuan; Among the 101 steel enterprises, 49 suffered losses, accounting for 48.51% of the total number of member enterprises. The loss of loss making enterprises was 45.042 billion yuan, a year-on-year increase of 352.85%; The output of loss making enterprises accounted for 45.35% of the steel output of member enterprises. At the same time, the debt ratio of many steel enterprises has continued to rise, and the enterprise's own sustainable operation capacity has become weak, accounting for about 80% of the interior trim

in addition, it is more difficult for steel enterprises to accept that although the state has recently proposed supply side reform, eliminating backward production capacity, upgrading industrial structure and reducing production to save the market. However, in the view of the industry, it is difficult for the whole steel industry to get out of the situation of overcapacity and sluggish demand in the short term. Liu Xinwei, an analyst of zhuochuang steel, said in an interview with Beijing Business Daily that the steel industry will still experience a long period of downturn. The 201 sunshine power aircraft has landed safely in Seville, Spain, and it is ideal to return to normal after eight years

the risk of being forced to cross-border is greater

when the profit of the main business is difficult to see hope in the short term, can cross-border bring rebirth to steel enterprises? In the view of the industry, it is unlikely that the steel enterprises' cross-border new industry will achieve the expected goals set by themselves

some insiders believe that steel enterprises forced to cross the border will face greater difficulties in new areas. "Taking Shagang Co., Ltd. as an example, the company announced to enter the field of new energy vehicles and engage in R & D, production and sales. Although the new energy vehicle market is currently supported by the government and has the advantages of large market capacity in the future, in fact, all kinds of capital have already poured into the new energy vehicle market. In the future, Shagang will face not only vehicle enterprises, but also non vehicle enterprises that have begun to develop new energy vehicles." The above insiders said

according to the data, at present, not only the major vehicle enterprises enter the new energy vehicle market, but also traditional enterprises such as western resources (16.54,0.41,2.54%), China power, Shanshan shares (33.01, -1.31, -3.82%) and Internet enterprises such as LETV and ranger have been preparing for a long time

linboqiang, director of the China Energy Economy Research Center at Xiamen University [Weibo], also believes that cross-border steel enterprises are forced to do nothing, and in this case, sideline survival will face greater risks

"steel enterprises are facing an extremely difficult situation. The pressure of performance forces enterprises to find other ways to survive, but it is obvious that the pressure of steel enterprises to return to another industry may not be small, and the competitiveness in the new industry is relatively lower than the original enterprises in the industry." Lin Boqiang said frankly

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