"There is excess steel production capacity has reached a very serious, dissolve the excess production capacity will be issued a number of measures, and give play to the role of market main body decisive." On November 21, China steel industry association executive vice President of Mr Zhu in the international iron and steel association's "green manufacturing - the future of steel and car" international symposium on the "daily economic news" reporter said.
, Mr Zhu said the problems in the process of resolving excess capacity, national ministries will give liberalised foreign control and policy support, financial support, etc as the atmospheric pollution is more serious, the beijing-tianjin-hebei region finance will give 5 billion yuan to support to reduce capacity, energy conservation and environmental protection is more excellent enterprises.
Industry present situation is not optimistic
At present, China's steel industry is facing unprecedented predicament, the industry profit level is low, grim situation of enterprise management, excess capacity contradictions increasingly prominent.
"The international and domestic are very concerned, and the current problems we are facing to the future development of China's steel, especially as the international and domestic demand growth decline, has entered the overcapacity situation." Mr Zhu said in the seminar.
His offer, according to the currently under construction and to build steel production capacity of about 90 million tons. "In fact, last year we calculated the actual utilization of China's steel production capacity 42% ~ 45%, and total surplus is beyond dispute."
According to cisa statistics, in the first three quarters of this year, member of the iron and steel enterprises implement total profit of 11.3 billion yuan, but the sales profit margin is only 0.41%, still in the level of the lowest in the industry.
"Iron and steel industry is the industry losses last year, this year sales profit margin of less than 1%." Mr Zhu said, "now the industry average debt ratio is near 70%, and a further deterioration trend, if let the development, will bring big risks to the nation's financial system."
In addition, Mr Zhu also said that the excess iron and steel industry is not only the total surplus, there is also a structural surplus and excess area. Such as high-end steel products, the current domestic steel companies can not meet, even need to import, and homogeneous steel is too much, a serious shortage of market demand. In terms of regional surplus, China's steel production capacity of high concentration areas concentrated in the northeast and north China, the region of steel production every year a large number of transport to the south, causing the waste of resources.
A number of measures to resolve the excess capacity
"At present, related ministries and commissions under the state council to dissolve excess steel production capacity is very seriously, China steel association, the central task of the next year is around the dissolve excess capacity." Mr Zhu said.
To solve the problem of excess production capacity, he says, need power, the combination of market mechanism and government introduced the comprehensive measures. The government in the future will focus on the iron and steel industry and the regulation of the enterprise, rather than the past on the examination and approval. "Play in determining the market main body, no longer rely on administrative measures for processing, but let go of some threshold, through mergers and reorganization of optimize the iron and steel industry, the industry evolution, to eliminate a number of steel mills, and integration and optimization of a number of steel mills."
Recently, the ministry of commerce has also proposed that will further liberalisation of the iron and steel industry, chemical industry, automobile and other general access of foreign investment in the field of manufacturing, including easing foreign investment in the proportion of registered capital, equity, business scope, etc.
Mr Zhu told the daily economic news "reporter in an interview, if the steel industry for foreign capital, to promote China's iron and steel enterprise, further promote the integration of industry and evolution.
At the same time, Mr Zhu also said that the fiscal and taxation policy will also have new measures to make the steel industry energy conservation and emissions reduction. "From next year, the steel industry will also be included in the category of the fiscal and taxation system reform of next year, the reform of the fiscal and taxation systems conducive to establish a fair competition environment." In respect of environmental protection and industry standards, he says, will meet the requirements for the specification list of iron and steel enterprises further disclosure.
On April 28 this year, the ministry announced the first batch of conform to the conditions of steel industry norms, the list of companies, a total of 45 steel mills, including anshan, a batch of large steel companies such as baosteel, wisco.
"There is no assessment, the provinces submitted more than 140 iron and steel enterprises, conform to the standard conditions of enterprise with environmental protection, equipment level and energy consumption emissions standards." Mr Zhu said, does not meet the requirements for the specification of the enterprise, the next step is likely to be in the list of the resolve capacity should be eliminated.
For resolving the problems in the process of excess capacity, Mr Zhu told reporters that joint the national development and reform commission, the ministry of industry and environmental protection and other ministries and further to listen to your local government and business, and then specialized guidance, cisa is now organizing the opinions of the corporate world.
"In the process of resolving capacity, will certainly encounter many problems, the state will give strong support on policy." Mr Zhu told reporters, "such as atmospheric pollution beijing-tianjin-hebei region, the central put up 5 billion yuan of money support, special reward enterprises energy conservation and environmental protection in the region is well done."