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What is the future of the stainless steel industry?

The development prospect of the stainless steel industry is very good. With the improvement of people's living standards, the application field of stainless steel extends from industry to family and agriculture. The scope of use continues to expand. But this industry is also very competitive. The application of stainless steel pickling passivation is also becoming more and more extensive.



The main characteristics of the stainless steel industry are as follows:

      (1) The growth is better than that of ordinary steel, and the periodicity is stronger than that of ordinary steel. Many experiences in recent years have shown that the recovery time of stainless steel and ordinary steel is basically the same, but the rebound of the boom is stronger, and the peak time Also earlier;


      (2) In 2008, the direct and indirect export volume of China's stainless steel industry accounted for 36% of the output, which was 13 percentage points higher than that of ordinary steel; in the final consumption of stainless steel, the kitchenware and white goods industry accounted for 45%, and the building decoration industry accounted for only 19% , while nearly 54% of the demand for ordinary steel is concentrated in the construction real estate sector, indicating that the demand for stainless steel is more dependent on exports and consumer goods;


      (3) Due to technical and other reasons, the production cycle of stainless steel projects is long, and the actual effective production capacity of the industry is usually lower than the statistical production capacity. Therefore, in the context of the high concentration of the stainless steel industry (CR5 reaches 70%), its demand trend is more worthy of attention. ;


      (4) In the current national stainless steel production, 300 series (chromium-nickel series) accounts for more than 50%, and the cost of nickel accounts for 50%-90% of the price of 304 cold-rolled stainless steel. Therefore, the profit of the stainless steel industry has a high impact on the nickel price and nickel storage volume. Sensitive, the demand structure will also be affected by the nickel price, but the total demand is not greatly affected by the nickel price. Stainless steel can be pickled and passivated, while ordinary steel can only be cleaned in general.

       The development of China's stainless steel industry is optimistic, but at the same time, there are also some problems in the industry, such as low industrial concentration, industrial fragmentation, too fast growth rate of production capacity, and insufficient high-end products in the development of the industry. However, with the improvement of scientific and technological level, the improvement of enterprise management level and the rational planning of industry structure, the stainless steel industry is developing in a healthy and rapid direction. In the next period of time, the driving force for the increase in demand for stainless steel products will come from two aspects:


       First, economic growth, that is, if the economic growth rate reaches 1%, it will drive the growth rate of stainless steel demand by 1% to 1.5%;


       Second, the future application of stainless steel will continue to expand. In terms of consumption structure, stainless steel is also widely used in public transport vehicles such as buses, subways, and high-speed railway vehicles. China's home appliance industry is a potentially large market for stainless steel applications. In addition, the demand for stainless steel in the water industry, construction and structure industry, industry, and industrial facilities will also increase year by year. Pickling and passivation of stainless steel can effectively improve the corrosion resistance of stainless steel, and the development of the stainless steel industry has a broad space for development.


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