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Gansu Province to complete the task of steel production capacity this year

As of August 31, the province's iron and China Galvalume Steel Sheet industry to suppress the production capacity of 1.6 million tons of pig iron, crude steel production capacity of 1.44 million tons, the full completion of the annual task, ahead of schedule than the national plan 3 month.
This year, go to capacity to become the province to promote the structural reform of the supply side of the primary task. The national iron and steel industry to resolve the excess capacity of the document issued, the province introduced a timely implementation of the program, the establishment of the provincial steel and coal industry to resolve the excess capacity to achieve the work of the leading group to turn around. In May, the provincial government and the national inter-ministerial joint conference signed to resolve the iron and steel industry, the coal industry excess capacity target responsibility book, determined in 2016 to reduce the production capacity of 1.6 million tons of pig iron, crude steel production capacity of 1.44 million tons, out of 48 out of backward coal mines, Annual production capacity of 3.97 million tons of objectives and tasks.
As of August 31, the province's steel industry to complete the annual task. Among them, the Jiuquan Iron and Steel Group Yucang pressure reduction of pig iron production capacity of 1 million tons, 1.4 million tons of crude steel production capacity, Jinchang Iron and Steel Company to reduce the production capacity of 600,000 tons of pig iron, Daxin Xin metal pressure reduction of crude steel production capacity of 40,000 tons, Enterprises with demolition conditions have all the demolition of smelting equipment, temporarily do not have the removal of all the conditions of the implementation of the water, power and power plant demolition and storage of the smelting equipment. The coal industry shut down 38 coal mines, reduced production capacity by 3.13 million tons, 78.8% of the annual target tasks, closed the coal mine has revoked the relevant licenses, dismantled underground equipment, closed fill wellbore.
Next, the province's steel industry will fully grasp the implementation of the shunt resettlement programs, and urge the relevant cities and enterprises as soon as possible to implement the staff placement compensation matching funds to accelerate the pace of business transformation and upgrading, strengthen international industrial cooperation, and guide enterprises with the conditions to go Out. The coal industry will implement the remaining 10 coal mines as soon as possible to close the work to ensure that the end of October to complete the task before the full closure.
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Jiuquan Wang Hing cut 2.4 million tons of steel production capacity by the government after the award 136 million
From coal to steel, to continue to promote capacity-building battle. Recently, the listed company in Gansu Province, Jiuquan Hongxing, its wholly-owned subsidiary of Jiuquan Iron and Steel Group Yuzhong Iron and Steel Co., Ltd. (hereinafter referred to Jiuquan Yuzhong) two capacity of 2.4 million tons of blast furnace officially shut down, pressure Reduced by 1 million tons of pig iron production capacity, crude steel production capacity of 1.4 million tons.
September 7, Jiuquan Hongxing announced that the company received the company recently to the Gansu Provincial Department of Finance to resolve the excess capacity projects to make up 136 million yuan of funds.
Jiuquan Hongxing Directorate General to do the relevant parties told the "Daily Economic News" reporter, the removal of backward production capacity, itself is no longer used.
Reporter noted that Gansu SASAC proposed to use 3 to 5 years in the steel industry to reduce production capacity 6.1 million tons. And with the Department of Northwest China's Shaanxi and Qinghai, as well as the Central Plains province of Henan have also recently launched steel to capacity planning. Henan, Qinghai, Gansu and Shaanxi provinces plan to 3 years total to more than 12 million tons of steel production capacity. Among them, Shaanxi Province plans to reduce production capacity in 2016 2.3 million tons, Henan Province, plans to reduce production capacity 3.4 million tons, while Qinghai plans to phase out steel production capacity of 500,000 tons in three years.
Jiujiang steel production capacity by 2.4 million tons
Recently, Jiuquan Hongxing officially closed the two steel furnace Yuzhong Company, and the removal of power plant, sealed smelting equipment, no longer resume production. This pressure reduction of pig iron production capacity of 1 million tons, crude steel production capacity of 1.4 million tons, total reduction of 2.4 million tons of steel production capacity.
The staff of the above-mentioned director of the Office of the Director-General of WISCO Wang Hing told reporters, "According to the relevant policies to production capacity, we must turn off (some blast furnace), but the concrete which is the company according to market decisions.
And the closure of the wine steel Wang Hing is the waste blast furnace, has been discontinued. "This (the phase I project to be eliminated) is a backward capacity," the staff member said.
In fact, Jiuquan Wang Hing to prepare the production capacity has already begun. The staff said frankly, last year's new second phase of the project is to go to Yanshan Iron and Steel production capacity to prepare, "began to build the second phase of Urumqi Iron and Steel is to add a capacity to eliminate backward production capacity, there should be considered in this regard, After all, the equipment in the replacement, the time is too long certainly to be replaced .When built a new (blast furnace), now turn off the old.
In this regard, analysts believe that the practice is not rare Jiugang Wang Hing, "at present can not be very strong or very official means to remove these production capacity to the purpose of more capacity is to improve the utilization of steel production capacity, while the The inferior (capacity) is removed.
Jiuquan Hongxing controlling shareholder Jiuquan Iron and Steel (Group) Co., Ltd. in addition to production capacity, but also actively layout of other industries, and even into the wine field.
For the steel enterprises to engage in "sideline", in Bi Hongbing view, "For (steel) enterprises, need two aspects (consideration), one is to give their own positioning, Do the raw material supply, or specialized downstream processing; the other is if you find in the steel industry has not a lot of opportunities, you can consider turning to financial or other industries.
Four provinces plan to reduce steel production capacity
This reporter has learned, Jiuquan Wang Xing is the steel industry in Gansu Province to the first leg of production capacity. While the goal of Gansu Province to production capacity is not limited to pressure reduction of 2.4 million tons of steel Hongxing Iron and Steel production capacity. Gansu SASAC proposed that Gansu plans to use 3 to 5 years in the steel industry to squeeze 3.1 million tons of pig iron production capacity, crude steel production capacity of 3 million tons.
According to the "State Council on the iron and steel industry to resolve the excess capacity to achieve the views of the development of poverty alleviation," the goal, in recent years to eliminate backward steel production capacity, based on 2016, with 5 years and then reduced crude steel production capacity of 100 million ~ 1.5 Billion tons.
In this context, the provinces have action. Reporters found that, after the Shaanxi Provincial Development and Reform Commission announced plans in 2016 the province's steel industry out of the main equipment 4, reduced iron production capacity of 1.6 million tons, steel production capacity of 700,000 tons. Shaanxi Iron and Steel Group Co., Ltd. pressure reduction of pig iron production capacity of 500,000 tons, reduced crude steel production capacity of 700,000 tons; Shaanxi Lueyang Iron and Steel Co., Ltd. depressurization reduction of pig iron Production capacity of 500,000 tons.
According to "Henan Daily" reported that the iron and steel industry in Henan Province to resolve the excess capacity target, the pressure reduction of pig iron production capacity of 1 million tons, crude steel production capacity of 2.4 million tons. While the Qinghai plan three years out of iron and steel production capacity of 500,000 tons, Ningxia five years will be strictly prohibited new steel production capacity.
This means that four provinces in Shaanxi, Gansu and Qinghai plans to reduce steel production capacity over 3 years will be more than 12 million tons.
For this round of the steel industry to production capacity, analysts said, "to the capacity of the whole industry benefits outweigh the disadvantages.Economic development to a certain extent, the terminal market needs to be upgraded.We are now in the post-industrial era, unlike the early industrial construction needs huge Of the steel support, but the need for stable support.

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