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Game surge in steel imports to production capacity

Just under a light rain September 7, under the Jiangsu Lianyungang East Union viaduct plot a few pool of water, bright red color. The road leading to the berths how very dry, the car opened, the volume was red dust. Dock worker holding a huge bamboo broom sweep kept.
Here is the Lianyungang iron ore terminal. Recently, the busy dock to ship the car to a constant stream of trucks carrying iron ore bound in all directions, the entire harbor ground are dyed red. In the No. 81 berth, a booming even more lively scene, a 300,000 ton ships are loading and unloading, lined up six huge crane, boom constantly crawl iron ore, loaded from the ship to large truck and then transported to the storage yard. "China Times" reporter on the scene saw the inner yard, a number of empty China Hot Dipped Galvanized Steel Sheet skids quietly waiting truck iron ore on top.
In fact, the first half of this year, only iron ore throughput, accounted for about half of Lianyungang throughput. Lianyungang, Inspection and Quarantine of the message is displayed, the first eight months of this year, Lianyungang imported iron ore 43,589,400 tons, an increase of 56.21%; and into September, then iron ore imports trend is accelerating. Highland shipping one hundred million data provided by the Ministry data shows that only eight days ago in September, Lianyungang Port to 1.71 million tons of iron ore.
Not only is the Lianyungang. January to August, Rizhao Port iron ore imports rose 20.4%, Tangshan Port iron ore imports rose 39.1%. Only the first half, imports of iron ore to China grew by 50 million tons. Iron ore imports soared behind the rapid warming of the steel industry. To expand production capacity in vigorous when contrarian rebound in the steel industry, is for the industry to bring production capacity more confusion.
Busy Port
We drove Lianyungang container terminals, coal companies, came to the iron ore terminal. Because of this "dirty" place and away from the bustling marina, very busy this year.
Lao Chen (a pseudonym) holding a small rope, reclining in a booth near the door. Small rope tied with brightly colored flags, from the side of the booth, to extend across the road, just a good stop junctions to berth. Behind a small rope, five large trucks are queuing up, whenever berths side pulled out of a car, a small Presbyterian loose on a loose rope, rope down to the ground, the car turn into the queue convenient.
This year, the hands of a small Presbyterian rope would not break, almost every day up and down the command of the order of the marina.
After the truck into the berths beside the open bottom of the funnel to the elevated loading. Subsequently, the crane boom from the boat to fetch a bucket full of iron ore, moved to the top of the loading hopper, let go, big truck suddenly sank down, fell into the back of the iron ore trucks. Some ore from the edge of the loading funnel planted the car and truck wheels are dyed red.
From Bahrain to fetch a bucket, just 1 minute. Only two bucket load of 45 tons of large trucks to be filled along the quay from another exit port, bound for iron ore yard. From time to time there are few cars, directly out of the iron ore port, heading for distant mills.
"There's always the boat, obviously a lot more than last year." Lao Chen told the "China Times" reporter. Lianyungang as the main iron ore berth, Lao Chen and colleagues also increases the workload.
Data show that the benefit of iron ore, coal imports rose significantly improve throughput. January to July 2016, Lianyungang iron ore throughput rose 236.77 percent, accounting for up to half the throughput of the entire harbor.
"The first half of this year, iron ore Lianyungang Port to ship 182, compared with 113 last year, an increase of 61%; to Hong Kong with a total deadweight is 35.741 million tons, 22.257 million tons compared with last year increased by 60.6% .7 August, imports amounted to 11.28 million tons. "one hundred million sea-blue shipping data unit shipping analyst Lin book to tell the" China Times "reporter.
According to reports, as of September 8, Lianyungang imported iron ore to ship a total deadweight is 48.743 million tons, last year was 49.843 million tons, that by September 8, Lianyungang has completed 97 per cent of last year's total.
Montreal Red is the busy port of verification. In the sunshine, so busy are taking place in the office. Rizhao Port Gate 2 at a distance near Sheng International Business Port, Rizhao Port is one of the international iron ore trading companies where the most intensive. In this building 30-storey office building, has gathered hundreds of iron ore traders from across the country, it can easily overlook the entire height of Rizhao Port.
However, from the beginning of 2014, prices fell, iron ore traders also dropped sharply, and nearly a third of small traders shut down, leaving the industry to withdraw, even now, the number of iron ore traders did not obviously increase. But stick with it, traders are usher in a new spring.
"Can make money, until all their teeth." Representative of a trader told the "China Times" reporter, this year from January to August, Rizhao Port iron ore imports 88,031,000 tons, an increase of 20.4%.
According to Deputy General Manager Yu Huifang presentation Rizhao Port, Rizhao Port in the radiation zone of Shandong Iron and Steel is currently under construction, is expected to start next year, its production capacity is 20 million tons of steel plan, the project will increase the Rizhao Port 4000-50000000 tons throughput.
Confusion capacity to demand for iron ore, is now not only a sharp increase in the monomer on imports.
"China Times" reporter was informed that currently the nation's major iron ore port stocks of about 103 million tons, compared with 106 million tons in mid-July, a slight decrease. Judging from the current situation of imported iron ore, iron ore imports this year may exceed 1 billion tons.
"Now the port stocks 100 million tons should be said to be a normal, iron ore port stocks for several years in the vicinity of long 8 from 10 million to 100 million tons this range from the current Chinese steel production demands, is an approximately 100 million tons demand for the month. "Lin told reporters books.
In fact, from 2009, "one hundred million tons of iron ore pressure port" to the present, the domestic crude steel production is growing rapidly. It is understood that, in 2009, average daily crude steel output of 1.8 million tons, equivalent to 54 million tons per month; now the daily output of 2.3 million tons, equivalent to 69 million tons per month, an increase of more than 20%. According to this standard, one hundred million tons of iron ore inventory has become normal needs, rather than pressure port.
By the first half of this year, the domestic real estate investment rebound, put the relevant national infrastructure and other factors, China's demand for imported iron ore remains strong.
"From iron ore imports since the beginning of term, 2016 - August total imports of iron ore at around 670 million tons, an increase of 56 million tons over the same period in 2015. For the full year, imports still the fourth quarter. possible continuation of the current situation, the end of the year, imports of iron ore is likely to exceed 10 million tonnes, the growth rate reached 5%, iron ore imports in 2015 was 950 million tons, the growth rate was 2.2%. "I'm a book to represent.
Go under production, the amount of iron ore imports soared, it does not seem good news.
National Development and Reform Commission released data show that as of the end of July this year, the national steel exit capacity only completed 47% of the amount of the annual task, not more than half.
"The more capacity to go, the more the greater the yield decrease." Analysts look back over the past 10 years the development of the steel industry represented.
The devil is in the details. China Iron and Steel Association recently released a report by the national capacity to influence policies and measures, steel production is difficult with large growth; at the same time, imports of iron ore stocks remained at a high level, the domestic iron ore market oversupply contradictions are still obviously, the late iron ore prices will fluctuate trend.
At Hangzhou G20 communique on September 5th show, led the establishment of the OECD Global Forum for steel overcapacity, and to solve the global steel overcapacity set a timetable, urged China on the basis of promised further cuts . Chinese President Xi Jinping said that this statement, go to China in terms of production capacity, "the most aggressive, the most practical measure, when it comes it will be done."
"From the State Council meeting, the focus of this year's steel and coal, local governments in advance in accordance with requirements of the central, most provinces have reached the target central dispatch." Industrial Bank chief economist Lu political commissar said. Insiders said: "2016, especially after the G20 summit held in iron and steel production capacity to be more 'intense' to be."
In fact, with the central 10 inspection teams to carry out special inspection, iron and steel production capacity has to go full speed.
By the end of August, Jiangsu Province has left excess production capacity 2.8 million tons, completed 71.8% of the annual plan, the end of October this year is expected to be completed ahead of the annual task. Hebei Development and Reform Commission published the list of enterprises to resolve the overcapacity in the steel and equipment can be expected by the end of November, Hebei Province, will phase out a total production capacity of 18.4 million tons of iron, steel production capacity of 16 million tons over the completion of the province's annual plan tasks.
According to agency data show that the pressure can cut more capacity to be invalid, void where ironmaking capacity of 18.92 million tons, accounting for 51.2%; invalid steelmaking capacity of 48.97 million tons, accounting for 70.6%. "Invalid capacity" means the long-term shutdown of idle capacity, related equipment has been stopped, but it has not been dismantled, so once market conditions improve, this type of production on the full blood resurrection possible.
'Production capacity and output is not the same, the demand for iron ore is mainly effective capacity, not to say to the production will certainly affect the production of steel. "Insiders told the" China Times "reporter. It is understood that in order to withdraw capacity idle capacity of the main production target this year to go even exceeded, also had little impact on the annual yield.
The problem is, the capacity to go to an upcoming battle so obviously can not play word games, going no matter what capacity, should yield the results are under control.

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