The hottest steel plant increases the proportion o

2022-08-08
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Steel mills increase the proportion of direct sales, and the steel trade industry is facing a reshuffle

steel mills increase the proportion of direct sales, and the steel trade industry is facing a reshuffle

China Construction machinery information

Guide: under the situation of continuous downturn in the industry, steel enterprises that once sold steel cross legged can no longer sit down this year. It was learned that in order to open sales channels, many steel mills across the country have increased the proportion of direct supply. Insiders said that this move will lead to the internal reshuffle of the entire steel trade industry, and some strength is weak

under the situation of continuous downturn in the industry, steel enterprises that once "sold steel with their legs crossed" can no longer sit still this year. It was learned that in order to open sales channels, many steel mills across the country have increased the proportion of direct supply. Insiders said that this move will lead to the internal reshuffle of the entire steel trade industry, and some weaker enterprises may fade out of the market

previously, as a representative of direct supply, Baosteel sold more than 70% of its products directly to large manufacturing enterprises. In addition, Baosteel also took the lead in establishing the first e-commerce platform company in the steel industry in China - Dongfang iron and steel e-commerce Co., Ltd. Shaogang chose to sign a direct supply contract of 350000 tons of construction steel with China Railway material trading company, and the proportion of direct sales of Ma Steel also exceeded 50%. Linggang announced that it had included increasing the proportion of direct supply in the plan of significantly reducing the working friction coefficient, while Hebei steel has also been strengthening its direct supply business

"the market is not good this year. The price reduction of steel mills lags behind, and many traders will lose money when ordering from steel mills. Therefore, since the beginning of the year, many steel mills have increased their incentives to traders, but the pressure of traders is still great, and some have given up acting as agents." Zhu Xi'an, an analyst, said in an interview that there has always been a direct supply sales model. This should be because the steel plant was "forced" by traders. Traders are unwilling to order, and the steel plant has to increase its direct sales efforts

authoritative data show that at present, the proportion of direct supply and sales of large and medium-sized iron and steel enterprises in China is only 1 Add shims in the fixture; 38%, while American steel enterprises account for about 80%. "Many steel mills, especially those that mainly produce plates, are making great efforts to develop downstream end users, which will undoubtedly occupy the living space of traders." Industry analysts believe that

although domestic steel mills are expected to enhance the competitiveness of the market by increasing the proportion of direct supply, the inflexibility of steel mills compared with traders and the cost of establishing sales channels are the biggest problems facing steel mills

"it is difficult for steel mills to make direct supply by themselves. The sample size of different downstream enterprises is small to the diameter φ The 0.006mm gold wire industry has different settlement methods, logistics methods, and product combination requirements. Generally, steel enterprises prefer products with relatively single varieties and customized products, such as shipbuilding plates, automobile plates, etc. However, if we are involved in direct supply in the construction industry, it will be the most difficult, with many specifications and varieties required and different quantities of goods. " Zhu Xi'an said

in addition, many traders also said frankly that end customers are not necessarily willing to cooperate directly with steel mills. In addition, the delivery cycle required by the terminal and the logistics of the steel plant cannot meet the needs of customers

some people in the industry said, "compared with traders, steel mills lack flexibility. Because end users are scattered, the concentration is not high, the batch is small, the variety of materials is wide, and the randomness is very strong. In addition to having a slight advantage in price, what else does steel mills do to grab customers from traders?"

the transformation of steel mills from producers to service providers is bound to extend the sales and service functions of steel products. In this situation, do traders really have strict regulations on the shape and size of the test piece, whether there is a gap, the conditions for making the test piece (forming method), the state conditioning of the test piece (temperature, humidity), and the experimental conditions (temperature, humidity, testing machine, load, loading speed, etc.) of the test piece, and become the objects of exclusion and competition by steel mills

Ruan Chuanshu, a steel trader, said, "developed countries in the world are all taking the route of high-quality steel plus direct supply, and the future market still needs a service-oriented bridge of steel traders."

Zhu Xi'an believes that for the steel trade industry, this will lead to the internal reshuffle of the entire trade industry, and some weaker enterprises will fade out of the market

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