The cumulative supply of nodular cast iron manhole covers for half a year is expected to exceed the same period in 2017
In the first half of 2018, the domestic steel market showed a weak trend and then a strong trend, and the overall fluctuation range narrowed. With the continuous release of market demand and environmental protection policies in the second quarter of the steel industry, the relationship between supply and demand has improved, the social steel stocks have fallen rapidly, market prices have gradually stabilized, and steel companies have made better profits. The second half of 2018 has arrived. At present, relevant statistics have basically been exhausted. How will the steel market operate in the second half of the year?
The continued development of environmental protection in the second half of the year has suppressed the release of output. The supply level of the steel market continued to increase in the first half of 2018. According to data from the National Bureau of Statistics, in the first half of 2018, the utilization rate of ferrous metal smelting and rolling processing industry was 77.7%, an increase of 3.0 percentage points compared with the same period last year; China's cumulative output of crude steel was 45.116 million tons, a year-on-year increase of 6.0%; China's steel products The output was 53.085 million tons, a year-on-year increase of 6.0%. In terms of the daily output of crude steel, April, May, and June repeatedly hit record highs, in particular, the daily output of crude steel reached a new high of 2.673 million tons in June.
In the second half of the year, Tangshan, Wu'an and other key steel-producing areas continue to strengthen environmental protection. From July 20th, Tangshan City will start a 43-day reduction in emissions reduction and tough production restrictions. Wuan Steel's blast furnace production limit will increase from 15-20% in the second quarter 25-35% in the third quarter; and nationwide policy measures such as the blue sky defense war and heating season to limit production will further become an important constraint on the steel market supply. It is expected that the cumulative steel output in the second half of the year will be significantly lower than in the first half. However, based on the high profitability of steel companies' production and operation this year, the cumulative supply of ductile iron manhole covers in the second half of the year will still exceed the same period in 2017 due to the smelting raw materials, technical adjustments and the increase in electric furnace steel output.