China's hot-dip galvanized steel pipe industry is developing towards the "new four" stage

As an important basic industry of the national economy, hot-dip galvanized steel pipe is facing a series of severe challenges such as excess capacity, slowing demand and tight capital. Recently, the expert points out, "golden decade" hot dipped galvanized steel pipe has ended, and in a bear market cycle. Vice President of the China iron and steel association, Mr Zhu said, because "much starker choices-and graver consequences-in" is a key period, the depth of the economic structure adjustment from the Chinese economy high speed growth into the new norm, rapid growth in the steel industry will also be continuously adjustable. According to the law and path of the development of iron and steel in developed countries, the development stage of China's galvanized steel pipe industry has gone through the growth stage from the previous demand to scale expansion, and will enter a new stage of green, quantitative, intelligent and international development.

The Internet is an inevitable alternative to the traditional industrial model

Recently, the hot galvanizing steel pipe industry has experienced a few years of winter, and new opportunities have been born, and the steel O2O model has been recognized. As more and more steel enterprises, circulation enterprises and terminal enterprises continuously improve their understanding of "Internet +" steel enterprises, it becomes an inevitable option to transform their industrial model with the Internet.

Since 2012, four years, hot dip galvanized steel pipe industry has been in the market situation of excess production capacity, the environment of the whole steel trade has swung, steel mills whole troubled, Banks and other financial institutions on a large scale from industry and take out loans and the limit of credit, a significant number of traders in crisis and some have been withdrawn from the market, some storage and processing unit profit fell significantly, even in the industry logistics carriers, there are also a significant part of the business difficult. From all indications, it can be said that in the past, the business practices familiar to us in the industry have become dysfunctional and risky, but at the same time, we have seen a lot of new things and new business models in the hot-dip galvanized steel pipe industry. The new business model is that more and more steel traders actively respond to the national "Internet +" strategy.

Industry life cycle is usually highly correlated with the country's economic development stage, the rapid development of the developing countries usually rely on industry, so the capacity of industrial enterprises to provide supporting material industry investment and output may also be high speed development, galvanized steel pipe, hot dip galvanized seamless steel pipe, petroleum, chemical industry, such as benefit, but by the late industrialization, especially after the completion of the urbanization and industrial related industry by "advantage industry" gradually transition to a "marginal industry", excess capacity and clearing with almost every completed the growth course of industrialized countries, Some lessons must be drawn from the experience of these countries. In 2013, professor dong xiaojun, deputy director of the economics department of the national institute of administration, discussed how to transfer China's production capacity to foreign countries in the road selection for the next stage of industrial transfer, among which many valuable views can provide inspiration for the current development of the iron and steel industry.

As China's economy enters a new stage of development, China's consumption of galvanized steel pipe has entered a peak period, the downstream market demand capacity has shrunk dramatically, and the contradiction between supply and demand has become more prominent. The steel industry is in a deep winter, and it will be a long-term process. At this point, production cut will be galvanized pipe industry to find a way out of one of the inevitable choice. Accordingly, crude steel output will continue to fall in 2016. According to my steel research center (MRI) supply and demand model, without considering inventory changes, the output of galvanized steel pipe will decline by 5.0~5.9% to 7.6~8.0% in 2016.