Uncertainty in steel industry next year

The new year is coming, what kind of environmental changes will the domestic steel industry face?

Jinlianchuang, China’s leading integrated commodity trading service provider, believes that the impact factors of the epidemic will be weakened in 2021. Although there are likely to be imported cases, it will not affect the production and sales of the steel industry. In 2021, we still need to pay attention to the development of the real estate industry. Due to the impact of the epidemic, the real estate industry will be strongly supported by local government bonds and other fiscal policies in 2020. Although there will be bond issuance in 2021, if there is no major event, the amount will not be increased significantly. In terms of fiscal policy, the overall level will still be stable, and there may be an increase in the amount in stages, Compared with the whole year, the growth rate should be relatively limited.

In 2021, we need to focus on the changes of iron ore, coking coal and coke production. As far as iron ore is concerned, with the rising demand for steel in China, the impact of the epidemic will continue to exist in 2021, especially from shipment to arrival. This cycle will continue to extend, and the arrival of iron ore will be full of uncertainty. In other words, the frequency of fluctuations in the iron ore market will also increase in 2021.

Safety accident inspection is also an important work during the “fourteenth five year plan”, which needs high attention. In 2020, although the accidents in the iron and steel industry are relatively few and the property losses are relatively low, the frequent accidents in coal mining enterprises, one of the suppliers of raw materials for iron and steel, have led to the increasing national inspection efforts in this area, especially the limited total amount of imported coal. However, China is facing the continuous peak of coal consumption, and the situation that supply is less than demand is very obvious.

Our raw materials of expanded metal mesh, perforated metal mesh are made of steel sheets. Therefore, if you are going to place order, please advice in advance to prepare the raw material to save the cost. 

Any questions, welcome to inqury at any time. 


Post time: Dec-28-2020