On May 25, the 2022 All-China Metallurgical Chamber of Commerce Executive Directors (Expanded) Meeting and the Private Steel Economy High-Quality Development Forum were held online. Chairman of the All-China Metallurgical Chamber of Commerce, Ding Liguo, Chairman of Delong Steel

htmlOn May 25, the 2022 All-China Metallurgical Chamber of Commerce Executive Directors (Expanded) Meeting and the Private Steel Economy High-Quality Development Forum were held online. Chairman of the All-China Metallurgical Chamber of Commerce, Ding Liguo, Chairman of Delong Steel and Xintian Steel Group, Wang Yongsheng, Chairman of Shandong Taishan Steel Group Co., Ltd., and Zhu Junhong, Chairman of Shanghai Steel Group Co., Ltd., attended the meeting and delivered speeches. The meeting was chaired by Bai Lianxiang, Secretary-General of the All-China Metallurgical Chamber of Commerce.

Ding Liguo summarized the operation of the private steel economy since the beginning of this year in his speech, and put forward opinions and suggestions on the future development of private steel enterprises and the next work of the All-China Metallurgical Chamber of Commerce.

Private steel enterprises achieved stable operation in the first quarter

"Since the beginning of this year, in the face of difficulties such as poor logistics, rising raw fuel prices, decline in efficiency and increased financial pressure caused by the epidemic, the steel industry has taken proactive measures to deal with the epidemic and market changes, with the goal of balance of supply and demand, and has basically achieved stable operation on the basis of ensuring supply and stable prices." Ding Liguo proposed, "especially, private steel enterprises have conscientiously implemented the "dual control" policy of steel production capacity and output, and achieved high-quality development in the first quarter."

First, the decline in the output of pig iron and crude steel is greater than the national average. According to statistics from the All-China Metallurgical Chamber of Commerce, in the first quarter, the pig iron production of private steel enterprises reached 116 million tons, a year-on-year decrease of 13.8%, a decrease of 2.8 percentage points higher than the national average; the crude steel production reached 146 million tons, a year-on-year decrease of 12.06%, a decrease of 1.56 percentage points higher than the national average; the steel production reached 221 million tons, a year-on-year decrease of 5.17%.

Second, the benefits of private steel enterprises decreased year-on-year, but the decline was smaller than the national average. Data from the National Bureau of Statistics shows that in the first quarter, the steel industry achieved a profit of 42.24 billion yuan, a year-on-year decrease of 49.7%; the key steel companies calculated by the China Steel Industry Association achieved a profit of 55.3 billion yuan, a year-on-year decrease of 25.8%; according to the Chamber of Commerce, private steel companies achieved a profit of 30.3 billion yuan, a year-on-year decrease of 43.5%. "It can be seen that the profit decline of private steel enterprises is less than the national average, but greater than the average level of key steel enterprises," said Ding Liguo.

Private steel enterprises should do a good job in ensuring supply and stabilizing prices

Ding Liguo pointed out that, including private steel enterprises, the next step in the steel industry is to resolutely unify their thoughts and actions with the decisions and deployments of the Party Central Committee, efficiently coordinate epidemic prevention and control and economic and social development, actively adapt to market changes, comprehensively ensure supply and price stability, and promote new progress in the high-quality development of the industry.

First, we must strive to do a good job in stable operation. Steel enterprises, especially private enterprises, should closely track changes in domestic and foreign markets in accordance with the requirements of "stabilizing production, ensuring supply, controlling costs, preventing risks, improving quality, and stabilizing efficiency", continue to strengthen economic operation monitoring and analysis, and aim to achieve stable operation of industries and private steel enterprises with the goal of supply and demand balance.

Second, we must promote the stable and sustainable development of the industrial chain. While focusing on epidemic prevention and control, steel enterprises should try their best to coordinate the forces of all parties to ensure smooth logistics. At the same time, we must improve the ability to guarantee steel resources, pay attention to the needs of downstream users, actively optimize product structure, improve product performance, and improve service quality.

Third, we must solidly promote green and low-carbon development. The steel industry and private enterprises should continue to promote ultra-low emissions, increase energy conservation, environmental protection and low-carbon technology transformation, encourage enterprises to optimize the energy structure and improve energy utilization efficiency.

Fourth, we must promote scientific and technological innovation around key areas. The steel industry and private enterprises should improve the collaborative innovation system of industry, academia, research and application, increase the efforts in scientific and technological innovation and research, focus on key common technologies and "bottleneck" technologies, and actively promote intelligent manufacturing in the industry.

"In response to changes in the market situation and rising production costs, private steel enterprises should learn from the experience of promoting advanced enterprises, further enhance the competitiveness of private steel enterprises, and truly promote high-quality development of industries and private enterprises." Ding Liguo said.

Chamber of Commerce should escort the development of private steel enterprises

"At present, major changes unseen in a century are accelerating, and the risk of the epidemic still exists. At this important historical juncture, as a home of private steel enterprises, the All-United Metallurgical Chamber of Commerce should show the enthusiasm for hard work, the spirit of courage to take the lead, and the tenacity of hard work and make contributions to the comprehensive creation of a new situation for the first-class chamber of commerce with Chinese characteristics and leading and promoting the high-quality and healthy development of the steel industry." Ding Liguo put forward requirements for the next work of the All-United Metallurgical Chamber of Commerce.

First, we must do a good job in leading party building. On the one hand, the All-China Metallurgical Chamber of Commerce should lead the majority of private steel enterprises and entrepreneurs to "listen to the Party, be grateful to the Party, and follow the Party" and strengthen their confidence and determination to do things, start businesses, and innovate and develop. On the other hand, we must do a good job in the party building work of the All-China Federation of Industry and Commerce in accordance with the requirements of Xu Lejiang, Secretary of the Party Group of the All-China Federation of Industry and Commerce, and do a good job in the party building work of the All-China Metallurgical Chamber of Commerce.

Second, we must continue to promote and train practical technologies. All-China Metallurgical Chamber of Commerce should further deepen the research and promotion of applied technologies in the steel field, jointly provide relevant technologies and systematically promote industry technology upgrades.

Third, we must do a good job in building and publicity of entrepreneur teams. promotes the healthy development of the private steel economy, and it is necessary to do a good job in the healthy growth of entrepreneurs. First of all, we must recommend entrepreneurs to participate in various social activities through the All-China Federation of Industry and Commerce to enhance the quality and confidence of the entrepreneurial team. Secondly, we must strengthen united front work in private steel enterprises. Finally, we must spread positive steel voices, tell good steel stories, and establish a good social image of private steel entrepreneurs.

Fourth, we must focus on industry hotspots, difficulties and pain points, and actively reflect the demands of enterprises. At present, in the face of complex and changing domestic and international situations such as the COVID-19 epidemic and the Russian-Ukrainian conflict, the operating situation of private steel enterprises is severe. The All-China Metallurgical Chamber of Commerce must strengthen the confidence of enterprises and help private steel enterprises achieve safe and stable operation. At the same time, we must actively summarize the problems and demands of enterprises, and report to relevant departments the actual and common problems existing in the industry and enterprises, and actively provide advice for government departments.

In addition, Ding Liguo also emphasized that the All-United Metallurgical Chamber of Commerce should do a good job in the election of the term this year, and take this opportunity to further improve the organizational construction of the Chamber of Commerce, improve the service level of the Chamber of Commerce, and safeguard the healthy development of member enterprises.

Author | Reporter He Huiping Intern Reporter Jia Linhai