Source：Yosho Steel Co., Ltd.Hits：
(1) The production capacity is still excessive, and the enterprise benefits are polarized. As of the end of 2014, China's crude steel production capacity has reached 1.16 billion tons, still at a relatively high level. From the perspective of enterprise benefits, the top 20 enterprises in the key large and medium-sized enterprises realized an overall profit of 28 billion yuan, accounting for 92% of the total profit of the industry; 19 loss-making enterprises, with a cumulative loss of 11.6 billion yuan, and the polarization of corporate profits was severe.
(2) The financial situation of the enterprise has not been effectively improved, and the problem of bank loan and financing is outstanding. In 2014, the asset-liability ratio of key large and medium-sized iron and steel enterprises was 68.3%, down 0.8 percentage points year-on-year, but 11 percentage points higher than the best-performing industry in 2007. Affected by the banking system to strictly control the overcapacity industry and the credit scale of steel trade enterprises, the bank increased the loan interest rate of the steel industry. In 2014, the financial expenses of key large and medium-sized iron and steel enterprises totaled 93.83 billion yuan, a year-on-year increase of 20.6%, which is three times the profits of enterprises. many. Some banks have taken large sums of money and mortgages on enterprises, and steel companies have stopped production or even went bankrupt.
(3) The concentration of industry is reduced, and homogenization competition is further spreading to high-end products. The steel industry has not achieved good results, and the willingness to merge and restructure enterprises has declined. In 2014, the output of the top 10 enterprises in crude steel production accounted for 36.6% of the national total output, down 2.8 percentage points year-on-year. Most of the large-scale steel enterprise quality sheet products are high-end products such as automobile sheets and electrical steel. There are signs of excess. The pressure on low-grade oriented electrical steel, non-oriented electrical steel and ordinary quality auto sheet market is further increased, and the homogenization competition of high-end products is becoming more and more popular. Intensified.
(4) The sharp increase in export products has caused an increase in trade friction conflicts. In 2014, China's export steel accounted for 32.2% of the global steel trade volume, the highest level in history. Among them, the total export of boron-containing steel in the first 11 months was 39.76 million tons, accounting for about 47.5% of the current period. Many countries adopted trade protection measures for China's steel products. In 2014, foreign trade investigations on steel remedies initiated by our steel companies reached 40, and the countries that initiated the investigations in addition to the original developed countries in Europe and the United States, and increased the number of developing countries in Asia, Africa and Latin America, gradually expanded.
(5) The phenomenon of strip steel and ticket sales will disrupt the steel market, and market fair competition needs to be resolved. Affected by the sluggish industry, some small and medium-sized enterprises have adopted market-produced steel and non-ticket sales and other illegal and illegal means to gain market share and profits, seriously disrupting the market's fair competition environment, not only squeezing the market space of formal business enterprises, but also backward production capacity. Providing living space is not conducive to the healthy development of the industry.