Modern survival of seamless pipe trade

Modern survival of seamless pipe trade

 

Editor's note / With the national macro-policy adjustments, usa's iron and steel industry from January to May this year, profits fell 56.9% and medium-sized iron and steel enterprises in a net loss of 1.984 billion yuan in July, the whole industry is facing a loss in August. Many problems existing in traditional steel trade market is gradually exposed: lack of precision machining industry, Chinese steel producers and steel (3477, -73.00, -2.06%) between the needs of enterprises severe information asymmetries huge middle of profits by the United States and Japan the fine steel processing enterprise snatched Korea and other countries, the Chinese iron and steel enterprises only rely on the roughing earn meager profits; traditional steel trading using the simple "buying and selling" mode, the supply and demand in the market is difficult to effectively docking, companies often have to spend a lot of material resources , human, in order to find effective customer; steel logistics, warehousing, distribution, transport, process management methods behind, there can not effectively monitor the transport process, customer satisfaction is not high, the high cost of logistics problem.

Quickly discovered the steel trade, one of the leading enterprises in Shanghai business ethics in the current restructuring of the steel market opportunities to invest 1 billion yuan in 2006 the first large modern metal logistics park in Harbin - business ethics Logistics Park. The logistics park Unlike traditional metal market, business ethics is not only integrated traditional steel industrial chain, also introduced the fine processing business and financial services; especially by means of information technology, to create a new e-commerce platform, intelligent logistics metals trading formats. This is known as "the first in the country and the success of" large "design the idealized upgrade mode for the disadvantages of the traditional steel industry? See the current case.

 

"The first feeling is shock, do not believe their own eyes." Which is engaged in steel trading in the country for 20 years, chairman of business ethics Liu Xiaodong, inspect the steel industry of the United States, Germany, Japan, Korea and other countries feelings.

 

Today, filed in 2008, the 2009 expedition, he still could not help lamenting the operations of domestic and international steel trade gap large: "The difference is the gap of the entire steel industry chain, including steel production, processing, warehousing, distribution, trade financial and other aspects, not a part of the gap, this gap makes domestic and international steel industry profit gap in times or even dozens of times. "which is invest 10 billion yuan to establish business ethics Logistics Park in Harbin where promote Shanghai Shangde Group transformation of the original intention.

 

The business model change: extending upstream, fine processing to enhance value-added products

 

"The sales price of a ton of steel is 5,000 yuan, to produce a ton of steel in sales after only a profit of $ 200; a large iron and steel manufacturers, capable of producing 100 million tons of steel a year, but profits may be over, but 100 million yuan, the best of times over, but 200 million yuan, the profit margin of not more than 4%. "This is a realistic portrayal of the domestic steel industry.

 

"The same material, the same chemical composition, 5,000 yuan a ton of steel, through the processing of iron and steel enterprises in the United States, Germany, Japan, Korea and other countries, was able to be sold for 18,000 yuan to 20,000 yuan, an annual output value is not to 10,000 tons of small steel enterprises, the profit in the year to 80 million yuan to 200 million yuan. "This is the steel industry's portrayal of the virtues of Japan and South Korea and other countries.

 

"The key difference is that usa's lack of specialized metal fine process." Said Liu Xiaodong. Abroad, many steel processing enterprises, their main business is doing fine processing, steel and other metal raw materials processed into fine steel, so for downstream users to buy used.

 

Meticulous division of labor due to foreign steel industry, makes foreign steel industry chain operational efficiency can be improved, and value-added products improve the entire steel industry profits increased dramatically. For example, South Korea's boiler plant never own purchase of raw steel, boiler accessories buy fine processing, and then assembled a boiler completed. They only need three months to produce a boiler.

 

In contrast, the domestic steel market, the lack of specialized metal processing enterprises, users need to buy steel and other raw materials, and then their own processing; small part of the processing enterprises processing, but there are still small scale, backward equipment, inefficient production , which led to the low efficiency of the entire industry, low profits. For example, the Harbin Boiler Factory production of a boiler, from the purchase of steel to the boiler design, to the production of boilers, need at least one to two years.