New fulcrum in the galvanized steel round tubing market

From the 2015 semi-annual report of listed steel companies, it can be found that the average gross profit margin of listed companies decreased by 0.36 percentage points year-on-year to 7.59%, and the net profit margin also decreased by 2.24 percentage points to -1.86%.
From the data point of view, galvanized steel tube consumption has reached the peak area, which is a unified view of many institutions and experts, some experts predict that the industry may enter a deep adjustment period of 10 to 22 years. In view of this, the capacity shrinkage of the hot-dip galvanized steel pipe industry will be a medium- and long-term phenomenon. Coupled with the rising cost of many small and medium-sized private enterprises and the break of the capital chain, they have gradually withdrawn from the market, which will inevitably lead to long-term low demand and prolong the recovery time of the hot-dip galvanized steel pipe industry.
Continuous high season is not prosperous
Although seasonally, the demand for “Golden September and Silver 10” still has some improvement expectations. However, after the military parade, the resumption of production of the galvanized steel pipe plant in Tianjin will drive the blast furnace operating rate in the country to continue to rise, and the demand will not be significantly improved. The supply will increase the steel price and further affect the profit of the steel mill. After all, the zinc coated steel pipe industry is once again in a vicious circle, and the manufacturing industry is still weak and hard to return, so the market price increase is not expected to be solid.
It can be seen that there are still many uncertain factors in the current hot-dip galvanized steel pipe industry, and the sharp contradiction between supply and demand is still not to be ignored. According to past experience, how much energy the infrastructure can bring to the market remains to be seen, so September The market is not as good as imagined. It is recommended that merchants still fast-forward and fast-track, avoiding risks.

Most Recent Entries

gi pipe
gi pipe
gi pipe
gi pipe
gi pipe

Contact us