Recently, the China Iron and Steel Industry Association released the operation of the iron and steel industry from January to July. The data show that in July, the growth rate of iron and steel production dropped significantly, steel prices remained relatively stable, and because of the high cost of raw materials, the benefits of iron and steel enterprises declined.
Experts believe that iron and steel enterprises are facing double pressures of rising costs and transformation and upgrading. At present, the operation cost of iron and steel related enterprises mainly includes labor cost, fuel material cost and logistics cost. As the demographic dividend disappears, the advantage of labor cost also disappears synchronously; because raw materials are mostly commodities, negotiation is difficult; in order to reduce the comprehensive cost, we must work together in a multi-pronged manner to improve operational efficiency.
In the view of experts, China's iron and steel industry urgently needs to improve the bargaining power of iron ore prices, but also faces the pressure of transformation and upgrading. Intelligent and big data will become one of the key development directions in the future.
