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        Huaian Jiamu Biotechnology Co., Ltd.






        Strong winds of environmental protection strike, steel and chemical industries encounter severe hardships again

        Time: 2019-04-25

        The impact of environmental protection and strong winds during the heating season to limit production has caused many industries such as steel, chemical, cement, and electrolytic aluminum to be severely tortured. Industry insiders believe that the steel market at the end of the year will surely be another turmoil, and prices may continue to rise. The staggered production of cement may lead to a negative increase in output in 2017, and the chemical industry is polarizing. The number of scattered small chemical plants and small product companies is extremely high. This will be the focus of environmental supervision. The elimination of these companies will be eliminated. It is good for the industry in the long run.

        Since the 18th CPC National Congress, the reform of the ecological civilization system has been placed in a prominent position to comprehensively deepen the reform work. In September 2015, the Central Committee of the Communist Party of China and the State Council issued the "Overall Plan for the Reform of the Ecological Civilization System", and the "1 + N" top-level system design started. Since then, various central government reorganization meetings have reviewed and approved a series of supporting policy documents related to the reform of ecological civilization. Since this year, environmental protection-related policies such as the "2017 Beijing-Tianjin-Hebei and Surrounding Areas Air Pollution Prevention and Control Work Plan" have been introduced intensively. At the same time, the central environmental supervision and inspection has achieved full coverage in 31 provinces, autonomous regions, and municipalities, which has helped solve a large number of outstanding environmental problems .

        Below, the place moved. Hebei Province, a major iron and steel province, proposed that Baoding, Langfang, and Zhangjiakou will build a "non-steel city", Zhangjiakou will basically achieve a "no-mine city", and Zhangjiakou, Langfang, Baoding, and Hengshui will strive to achieve a "no-coke city." "A number of environmental protection policies are superimposed, and there is little left in the steel production enterprises." Jin Yichuang, the metal industry editor-in-chief, told the Economic Reference News reporter.

        However, strong winds of environmental protection are still behind. According to the “2017 Beijing-Tianjin-Hebei and Surrounding Areas Air Pollution Prevention and Control Work Plan for 2017”, the “2 + 26” urban industrial enterprises have to shift production during the heating season. In the cement and foundry industries, peak shift production is comprehensive. Except for those who undertake the tasks of people's livelihood, all peak shift production in the heating season. From September 15th, the Ministry of Environmental Protection carried out atmospheric inspections on Beijing, Tianjin, Hebei and its surrounding areas in autumn and winter. This inspection is aimed at enterprises and governments participating in the "2 + 26" cities in autumn and winter air pollution control.

        Yiyi Yi believes that the steel market at the end of the year will surely be another turmoil, and prices may continue to rise. Taking rebar prices as an example, there will still be upward space of 200-300 yuan / ton in the later period. But need to be cautious to chase up.

        Ou Haitong Securities analyst Jiang Chao said that in 2016, the output of 28 cities accounted for 1/5 of the country, while the national cement output in the first seven months of 2017 increased by only 0.3% year-on-year, so staggered production may lead to negative output growth in 2017.

        From the perspective of the chemical industry, Wang Zhenxian, editor-in-chief of Jinlianchuang Energy and Chemical Industry, said that China's chemical companies are currently polarizing. The main production of bulk chemical products is concentrated in the hands of large private enterprises such as three barrels of oil and refineries. The supporting environmental protection measures of these enterprises are generally relatively complete. Due to the large impact on the local economy and society, the impact of environmental protection inspections is limited. On the other hand, there are a large number of scattered small chemical plants and small product enterprises, and there has been a lack of supervision for a long time. This part of the enterprise will be the focus of environmental supervision. Environmental inspections have been positive for chemical companies for a long time, and policy thresholds can eliminate some of the less efficient small businesses.

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