Iron Ore Negotiations, Restructuring Of The Approach Of The Cold Steel Prices Breakthrough - Steel

Affecting the entire steel industry, the upcoming iron ore negotiations nerve

, the domestic iron and steel, "Big Mac" can break through the repression of the international iron ore giant to look forward to. Gengrang iron and steel industry is worried that the slowdown in global economic growth, cost pressures, weaker demand environment in the downstream industry, steel industry profits significantly increased the potential risks and difficulties.

Macro in this background, the steel industry, corporate restructuring and concentration problems naturally become the focus of discussion.

"The turning point of growth in the steel industry has emerged that rely on strong demand, product prices, we all make money in the development model will be difficult to reproduce. China's steel industry to be in this economic" cold "to speed up mergers and acquisitions, accelerate industrial upgrading to cope with fluctuations in the global economy and recession. "Anshan Iron and Steel Group, one official said.

China Iron and Steel Industry Association statistics show that the first 8 months, China's steel enterprises in the production costs by 60%. The prices of steel products into the domestic market began to decline after July, the community demand for steel continues to weaken. As of October, the country's loss and medium-sized iron and steel enterprises are likely to exceed 60%. In the year 1 to 9 months, the steel industry losses amounted to 1.154 billion yuan, is 18.06 times last year. As the iron and steel production capacity exceeded demand, a number of poorly managed companies will be forced to shut down or restructured. Only weak corporate resources protection, advanced technology and equipment market of corporate restructuring firm, to escape the fate of being eliminated. An official of the SASAC

expressed the same view: "When the steel industry, the advent of a true survival of the fittest. As the days have been doing well, steel prices have been very difficult restructuring by the Government to promote breakthrough. Today, the" market "invisible hand will show their great power."

No doubt that the advantages of enterprises and by large mergers and restructuring, further restructuring of the enterprise groups after the stronger and bigger, and become internationally competitive world-class large enterprise groups. At the same time, give full play to the leading role of large dominant enterprises can maximize the care and coordination of government, enterprises and individual employees in the restructuring process of readjustment of the relations of interest, arouse the enthusiasm to achieve Cooperation Win. Because of this, steel prices have been reorganized by the government and industry associations pushing.

In fact, last year, through the merger and reorganization, the domestic steel industry concentration has been increasing. This year, China's steel enterprises mergers and acquisitions into the climax. Just six months, Shandong, Hebei, Guangdong and Guangxi provincial "steel aircraft carrier" set up one after another. Calculated according to the first half of crude steel production, China's steel output of 10 large enterprises have accounted for 41.37% of total production.

For the reorganization of the current boom in full swing, executive vice president of China Steel Industry Association, Luo noted that the purpose of reorganization is not to big but bigger, but stronger in the enterprise group subject to big, full M & A 1 +1> 2, the combined effect, driving both enterprise funds, resources, personnel, equipment, technology, products and other aspects of a comprehensive integrated optimization of production factors. Therefore, the Chinese iron and steel enterprises in the merger and reorganization in line with industry should pay attention to the scientific layout and development planning, to meet the company's strategic positioning and development planning, to avoid the tendency to blindly diversity. Mergers and acquisitions to avoid blind expansion and do all kinds of risks such as the prevention and avoidance.

by: gaga

POST COMMENT

Debt Relief Options - What is Credit Card Debt Negotiation? Credit Card Debt Negotiation – The Best Way To Avoid Bankruptcy Quick Deals In Negotiations The Stages of Debt Settlement Negotiation Add To Your Personality With Excellent Negotiation Skills Training Appreciation Card Debt Settlement Negotiation Tips in addition to Solutions Debt Negotiation Companies – A Legitimate Tactic To Eliminate Your Unsecured Debts Comments: Why Japan Can Easily Face The Iron Ore Negotiations? - Iron Ore Negotiations, Price - Credit Counseling and Debt Settlement – What Is The Best Debt Negotiation Approach? Credit Card Debt Negotiation – How Debt Negotiation Really Works How To Get Debt Negotiation Companies To Reduce Your Debt Mvno Operational Cost Planning: Modelling And Negotiation Strategies For Contracting With Host Mobil Things You Need To Know About Credit Card Debt Negotiation