Still high cost of running the steel industry

      China’s CPI in July, a new high.CPI have continued high raw material and labor costs will make it up.Eventually push manufacturing costs.Experts say.The next time the domestic inflationary pressures are still greater.Affected.China’s steel industry will maintain a high cost to run trend.
       Relevant data.In July, China imported 54.55 million tons of iron ore.Average price of 173.2 U.S. dollars / ton.The April $ 159.2 / ton, up 8.8%..Related personnel, said.The high cost of running the support steel prices upward.Further reduce the profit margins of steel prices.Steel trader will also face funding problems.
      Specifically.Iron and steel bars producers will face inflation caused by the rising prices of production factors have brought pressure on production costs.Steel prices have further compressed the production margins.Thus part of the increase in production costs will have to increase ex-factory price.Onto the steel trade circulation.Traders have reduced the profit margins of steel.
      As prices increase.The same amount was ordered.Steel traders to increase the amount of funding needed.High in the CPI, the state continued to tighten liquidity in the case.Part of the iron and steel trade enterprises will have to face the shortage of funds.Most of the steel trade enterprises are SMEs.Are continuously tightening in financial conditions.Enterprises will face a higher risk and financing costs.

    On Hing Industrial Co., Ltd. Steel Bars produced by high mechanical strength, good ductility, toughness, cold resistance and weldability, are widely used in large and medium-sized steel reinforced concrete structure of the force. Also includes a series of production of Tinplate, ERW Steel pipe and other products, the company solemn promise of “perfect quality, low prices, excellent service” to provide users with quality service.



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