Steel market sales level: 2012 one after another

Editor's note: Today, economic growth at home and abroad has slowed down significantly, and the industry has been subject to uninterrupted policy controls. The steel market is also finding it hard to “go it alone,” and the market has followed the wave of “cooling”. In this regard, the market "rising resistance", steel factory direct sales, ordering policy new move 2012, and agents, it seems more "you strong me", have to withdraw from the market, the author believes that the biggest reason lies in itself Market competitiveness and resistance to fight and market discourse. To sum up, we can imagine that the biggest and most direct goal is nothing more than the pressure of the market. In order to seek development, we must find new ways to restore the market to the maximum extent possible.

Focus 1, steel factory 2012 new frequency is now: direct sales, ordering policy

Foreword: At present, there are as many as 250,000 domestic steel trading and logistics companies in China, involving sales, processing, distribution, warehousing and other fields. The overall situation is small, scattered, chaotic and poor. China's steel market system is a "pyramid type", namely, ** market ---- wholesale market - retail market. This market system has determined that steel traders are facing increasingly fierce competition. In the past, the traditional mode of ordering from steel mills to market sales and earning a difference in the business model has become unprofitable.

Keywords: steel factory direct sales, 2012 "preferential" ordering policy

Direct sales: Recently, it has been learned from the national steel mills that some steel mills have increased their plans for direct supply or spot direct sales in order to increase sales efforts due to the cold weather in the steel market this year. For instance, the direct supply of sheet steel in Hebei Iron & Steel Group Sales Corporation reached 42% in the first half of this year, which is 18% higher than the same period of last year. In addition, Baosteel and Wuhan Iron and Steel Group also increased their direct supply direct marketing targets this year. Wuyang's Puyang Iron and Steel and Inner Mongolia's Baotou also opened a spot direct sales company. Three tons of five tons of steel will be sold, which is equivalent to a trading company.

According to the latest figures released by the China Iron and Steel Association, from January to October 2011, the sales of steel products of 80 large and medium-sized iron and steel enterprises in the country reached 36%, and the proportion of branches reached 13%. The proportion is only 42%.

However, this kind of spot direct selling method also has many risks for steel mills. Experts say that since spot direct selling companies want to intercept some steel traders' markets, they also have to take certain risks, that is, when the market goes down, they are hoarding. The spot will face the risk of devaluation. If steel spot direct sales companies cannot be as flexible as steel traders, they will face risks.

Orders will be repeated: At the end of recent years, major domestic steel mills have successively held annual ordering sessions. Among them, a series of policies on customer orders for the next year have been publicly or secretly introduced. According to reports, under the backdrop of the “weakening” and even loss of the “micro-profit” of the iron and steel industry, by the end of this year, various steel mills will gradually take orders for the next year’s market share, stabilize and fight for orders from agents and terminals. Compared with previous years, the ordering policy of the company can be described as "rebate one after another" and "one after another."

According to steel traders who participated in the steel products ordering meeting, this year's profit margins given by major steel mills to steel traders, as well as the “concessions” offered, are “only a lot more” compared to the order policies of previous years, and “ Discounts are available in a variety of ways. In order to compete for next year's market share, there is an obvious fierce competition among major steel mills.

Japan's largest privately-owned steel mill, Shagang, held the "2012 User Discussion and Ordering Meeting." According to feedback from steel traders participating in the trade fair, Shagang has added a series of incentive policies to its agents and terminals for this year. For example, for Shagang, customers who completed orders of 98% or more this year will receive awards ranging from 6-30 RMB/ton for sub-categories; secondly, 90% (including 90%) to 98% of customers will be awarded 2 8 yuan / ton range; and for the amount of completed in 80% to 90% of customers, also divided the variety given 1-3 yuan / ton reward.

It is understood that this kind of incentive policy is very rare in the annual policy of the previous steel mills. In addition, Shagang also reduced the margin requirements for agents and terminals for direct supply customers. In this year, Shagang’s margin requirement for agents was consistent at RMB 300/tonne. For the agents ordered next year, Shagang will divide the “annual order quantity below 60,000 tons,” and “the annual order volume will be between 60,000 and 120,000. Between the tons, "the annual order quantity is greater than 120,000 tons" three grades, of which, tons of steel were given 300 yuan, 250 yuan, 200 yuan margin standard. In addition, for the terminal's direct supply to customers, Shagang's margin requirement is based on this, and the price is reduced by RMB 50/t at the same level.

In addition, Wuhan Iron & Steel recently issued preferential policies for customers of cold-rolled, hot-rolled and silicon steel products in 2012. WISCO classified its customers into three levels: key customers, general customers, and sporadic customers. The discount points for key customers corresponded to 5 points, the discount points for general customers corresponded to 4 points, and sporadic customers did not offer discounts. It is reported that the hot rolling corresponding to each discount point is 30 yuan/ton, cold rolling is 40 yuan/ton, the oriented silicon steel is 100 yuan/ton, and the non-oriented silicon steel is 50 yuan/ton.

In addition, a steel plant in east China targeted customers who paid the goods on time this year and offered an incentive policy ranging from RMB 6-10/tonne. A Shandong steel mill has issued “reward concessions” for customers who place orders next year. Monthly orders for 3,000 tons of rebates of 20 yuan / ton, full 5000 tons of rebates 22 yuan / ton, full 8,000 tons of rebates 25 yuan / ton.

It is worth mentioning that a series of concessions and rewards for major steel mills are generally accompanied by additional conditions. For example, the above Shagang’s incentive policy requires the customer to guarantee that the order quantity for the next year shall not be less than this year. In addition, the customer must also ensure that the planned amount is completed in the first half of next year. After meeting these two conditions, the reward policy will be honored in July next year.

Focus 2, marketing ideas change

Foreword: In 2011, for steel trading companies, it was the most difficult year for business operations, and it was also the year in which steel traders’ business ideas were transformed. As the saying goes, it is harder for the steel trade to do, and the method is always more difficult than it is. At the year-end inventory, these steel traders feel the need to transform their business ideas and the importance of marketing innovation.

Keywords: marketing transaction model, network "electronic" sales

Nowadays, for the steel trade enterprises, it is in a critical period of transition, and it is also a critical period for “big waves, sand and waterslides” and “survival of the fittest”. It is also a critical period for new opportunities and new hopes.

However, how to stick to this position in the steel trade and how to crack down on the current business difficulties? This has become the biggest problem faced by steel traders in 2011, which is related to the survival of steel traders. Therefore, this year, the steel traders' awareness of change is stronger and more urgent than in previous years. “Difficulties change thinking”, many steel traders break free of “self-imposed limits”, get rid of the fixed thinking, get rid of the shackles of “golden rules”, get out of the fence of imprisoned thinking, carry out business idea innovation, innovate traditional marketing modes, and focus on adjusting the market. Positioning.

Subsequently, one by one innovative ideas and marketing models appeared in the field of steel trade. For example, the "integrated purchase and sales" model, "financialization" trade, "electronic marketing" of online marketing, "engineering" basket distribution service, "sales front and back end integration" operation management mode, and "chain operation" supply Chain construction, changing the “buyout agent” as a “commission agent” exploration, establishing a “flattened” sales channel, fostering a steel logistics park, etc. These transformations of business ideas have been solved by many steel traders. Faced with operating difficulties.

The idea has changed from day to day. The transformation of business ideas has brought about a new look for many steel trade enterprises. Taking the innovation of the park-based transaction model, there are now 62 private shear processing centers or open-panel factories in the Shanghai area, which include processing and warehousing. Trade as one. It is both a steel storage place and a steel processing plant. For instance, the communist green processing center invested by Shanghai Baodi Iron and Steel Group and the steel processing company of Shanghai Haoye Iron and Steel Group. Shanghai Aishma Metal Materials Co., Ltd. recently built a steel warehousing and logistics center covering more than 300 acres in Yancheng, Jiangsu. This park-style transaction changed the previous pure steel trading, but integrated the trade, processing, distribution, warehousing, logistics, and provider of accommodation, catering, culture, entertainment and other services, with the function of steel trading city, she is no longer It was a single steel sale in the past.

There is a way of thinking that is the way out, how far the idea is, how far you can go. To change your destiny, change your mind first. The head is empty, the pockets are empty; the head turns and the pockets are full. If steel traders want to make money, they must dare to open up, dare to innovate, change the business philosophy and sales model that do not meet the market, and establish a business strategy and marketing strategy that conforms to the trend, and create a broader new world for their own survival and development.

Focus 3, overseas investment in factories

Foreword: According to reports, many domestic steel companies have taken measures to build factories abroad in order to be able to obtain development. According to the author's understanding, at least six steel enterprises set up factories overseas in 2011. In 2012, this momentum will not diminish.

Keywords: steel mill “going out”, Anshan Iron and Steel, Baosteel, marching into India

The overseas steel construction of Chinese steel companies first started in 2007 when Baosteel planned to establish a joint venture with Vale in Brazil, but it failed because Brazil demanded too much. Since then, Wuhan Iron and Steel and Anshan Steel have also boldly tried to invest and build factories in Brazil and the United States. According to the “12th Five-Year Plan” of the steel industry, the country will encourage more steel mills to “go out”.

On October 13, a message came from Paris. Zhang Xiaogang, general manager of Anshan Iron and Steel, which has just taken over the World Steel Association (WSA), stated that Angang is planning to build a steel plant with an annual output of 2 million to 3 million tons in India. If this is the case, this will be the second time that China's well-known steel companies have once again entered India after the emerging projects such as Cast Pipe and Minmetals.

"I think that after China, India (in steel development) will be the next largest country." Zhang Xiaogang believes that India's annual steel production and demand may increase to 100 million to 200 million tons in the next 5 to 10 years.

As the world’s largest steel producer, China still has few truly international steel plants. Following the large-scale overseas investment in resources, overseas factories have been impulsive and started brewing in the hearts of many large steel companies.

This year, Xu Lejiang, chairman of Baosteel Group, publicly stated on many occasions that “the international era of large-scale, two-way investment in China’s steel industry is approaching.” At present, the slowdown in China’s domestic steel market growth may be at another level. Forcing steel companies to be strategically prepared.

Focus 4. Integrate social environmental protection, reduce emissions effectively, and realize new growth points

Foreword: The entire industry must make its due contribution to environmental protection, including the upstream raw material market and terminal manufacturing, construction and other industries. This is an obligation that must be fulfilled after enjoying rights. In order to achieve better, longer-term and sustainable development, the steel industry has successively met the social environmental protection public welfare undertakings, effectively reduced emissions, and achieved its own effective development. This is another way to transform the market under tight pressure.

Keywords: low carbon emission reduction, Anshan Iron and Steel, Taigang

"Energy saving and emission reduction and recycling economy are not 'burning money' but new growth points."

The steel industry has always been regarded as one of the industries with the most severe emissions. This year's target for energy-saving and emission reduction is difficult to achieve. Since this year, Baosteel has continued to reduce the use of raw materials for energy use by reducing process energy consumption, deepening energy cost improvement measures, further optimizing processes, and promoting the use of energy-saving technologies. To further implement the concept of environmental management and promote energy conservation and emission reduction, Baosteel Co., Ltd. takes “Enhancing Energy Management and Control and Promoting Energy Conservation and Emission Reduction” as a key task, establishing cost reduction projects for “reducing energy use costs”, and making special progress.

“As the vanguard of Chinese steel companies, the eldest son of the iron and steel company of the Republic, Anshan Iron and Steel has always been very concerned about energy conservation and emission reduction.” Zhang Xiaogang cited the figures, Anshan Iron and Steel's annual output is about 31 million tons, and the investment for environmental protection is 70-80 yuan/ton. about.

Take Shandong, Shandong Province proposed that during the “Twelfth Five-Year Plan” period, it is necessary to rely on existing steel companies to independently research and develop and promote energy-saving and emission-reduction technologies, as well as nationally recommended cleaner production technologies and pollution prevention and best-practice technologies to advance the steel industry in an all-round way. Energy-saving, water-saving, land-saving, consumption-reducing and comprehensive utilization of resources, and on the basis of continuing to maintain the advantages of Jinan Steel and Laiwu Steel as the country's first batch of pilot enterprises for recycling economy, Shandong Province has been built into a demonstration area for the development of circular economy in the national steel industry. . By the end of the “Twelfth Five-Year Plan”, the comprehensive energy consumption per ton of steel, new steel consumption per ton of steel, tons of carbon dioxide* emissions, and tons of steel smoke (powder) dust emissions in the province’s steel industry decreased by 3.9% and 11.1%, respectively, compared to 2009. , 47.4%, 41.6% or more.

Shandong Province proposes to control the total amount of steel, build a quality steel production base, increase the added value, and increase the proportion of high-quality steel to more than 60%; accelerate technological transformation, promote the use of dry quenching, coking coal, humidity and air separation, and enrich oxygen. Pulverized coal-fired high-efficiency combustion, blast furnace gas pressure differential power generation, converter dry dust removal and negative energy steelmaking and other energy-saving technologies; promote comprehensive utilization and encourage the recovery and comprehensive utilization of surplus gas, residual heat and residual pressure, solid waste, and waste water, and fusion of building materials , petrochemical, power and other industries, extending the comprehensive utilization of iron and steel resources industrial chain; accelerating the elimination of backward production capacity, by 2015, the province's steel production is controlled at 50 million tons, the industry unit added value energy consumption reduced by about 10%, coke oven, blast furnace The gas recovery and utilization rate is over 95%, the converter gas recovery rate reaches 100 cubic meters per ton of steel, and the large blast furnaces are all equipped with blast furnace gas pressure differential power generation devices. The comprehensive utilization of solid wastes is over 99%, and the industrial water recycling rate reaches 97. More than %, the main production enterprises achieve zero discharge of negative energy steelmaking and industrial wastewater.

Before this, Li Xiaobo, chairman of TISCO, also said: "Energy conservation, emission reduction and recycling economy are not 'burning money' but new growth points." From 2000 to 2009, TISCO made a total investment of 6.3 billion yuan and implemented 101 energy-saving emission reduction and recycling economic projects. By adjusting the industrial structure and transforming the development mode, it achieved a green process equipment and manufacturing process. Taigang’s operating income in 2009 was 101.3 billion yuan, an increase of nearly 7 times over 2001.

Steel is a typical high-carbon industry. Some people say that taking the low-carbon road in the high-carbon industry itself is the wrong position. Some people say that to reduce pollution, it is best to relocate the steel plant. Li Xiaobo said that relocation is not a good solution to pollution. Many steel mills in Japan and South Korea are in the city center. The key is to achieve technical standards, and polluting steel mills will also become green steel mills. The fundamental solution lies in the fact that businesses and cities have become a community of green development values.