TP316L Stainless Steel Tube Price Return and Operation 2018

The reasonable return and operation of TP316L stainless steel tube is a reasonable guarantee for the smooth operation of the enterprise.

In 2018, the demand for TP316L stainless steel tubes is generally stable, but several major issues still need to be noticed by investors.First of all, after the major breakthrough and decisive victory of the TP316L stainless steel tube industry, it is necessary to strictly prohibit the reburning of new capacity and pay special attention to the improvement of the interests of the steel plant.Secondly, the steel enterprise capital structure has not been optimized, the debt ratio is too high, and the debt ratio is not reduced, it is difficult to get rid of the situation of "working" for the bank.Third, ensure the smooth operation of the industry.

In 2017, the steel enterprises will work together to strengthen self-discipline and ensure the smooth operation of the TP316L stainless steel pipe industry.

The premise of the smooth operation of TP316L stainless steel tube market in 2018 needs to pay attention to the following points: first, supply and demand balance, and grasp the production rhythm.Secondly, the price of TP316L stainless steel pipe is not expected to rise and fall. Reasonable price return and reasonable price operation are reasonable guarantee for the stable operation of steel enterprises.3 it is the price of imported iron ore and steel greatly benefit relations, in order to strengthen the coordination mechanism of miners and steelmakers, to quicken the transformation and upgrading of steel mills, and from the strategic level has been clear about the China iron and steel industry in the new era of strategic orientation and goal of China's iron and steel industry is big and strong.

1. Supply and demand of TP316L stainless steel tube from production and environmental protection.
The increase in the price of the TP316L stainless steel tube has raised concerns about whether the rise in prices will lead to the resurgence of some discontinued enterprises.Our view is not.According to the field research, most of shandong steel mills have more than 90 percent capacity utilization, no more capacity to improve, and new capacity is not possible.If there is a blast furnace replacement, the capacity can only be lower, not increased.The blast furnace opening rate of tangshan has remained unchanged for a long time.

On the environmental side, the policy is very strict, and the steel companies and the government are responding positively.With three months to go before the current heating season, environmentalists have moved into steel mills, and some have begun to make conscious cuts, and environmental policies are only likely to be stricter.
The limit of environmental protection will be greater than that of "2+26" cities, such as shandong rizhao, which is not within the limit of production, and has 14 million tons of production, which will also be affected by the production limit.

Local policies will be stricter on the implementation of central documents.Environmental protection is a red line that should never be touched. Once touched, the penalties for local government officials will be severe.For instance, the central government will conduct real-time monitoring of PM2.5, two officials in tianjin and some cadres in shandong province have been removed from their posts because of poor environmental enforcement.

TP316L stainless steel tube enterprises are very strict in enforcing environmental policies.The company is willing to cooperate with local government to take the initiative of environmental protection, and the current profit of TP316L stainless steel pipe industry is large, and the steel mill is unwilling to touch the government's environmental policy.
In the quantitative calculation of environmental protection limits, the steel output in "26+2" is mainly concentrated in tangshan, handan, shijiazhuang and anyang, accounting for 74% of the capacity.In the most pessimistic budget, the limit was 9.8% of the country's output.In short, the fundamentals of TP316L stainless steel tubes are very good, and the potential for environmental protection is very high.

2. The price of TP316L stainless steel tubes rose, and the economic returns gradually recovered.
Stainless steel spot supermarket network, analysts say, as the TP316L stainless steel pipe market continues to rebound this year, prices rose sharply, most also continue to improve the economic benefits of steel companies, steel companies long-term losses, which depend on the state of the state subsidies have gone forever.In the context of the overall stable demand of TP316L stainless steel tube market in 2018, with the continuous improvement of the basic surface, the current plate market has also been favored by the agency.

In the market of all major indexes, the black tie plate has attracted a lot of attention and has become the most closely watched sector in the market.According to the data show that as the TP316L stainless steel pipe market continues to rebound this year, steel prices rose sharply, the economic benefits of the majority of steel mills also continues to improve, some long-term loss of steel mills to achieve the profit.And for next year TP316L stainless steel tube industry trend.The year 2018 should be a solid year for the steel industry to come out of the trough in 2016 and stabilize in 2017.However, in the context of the overall stable supply and demand of the TP316L stainless steel tube market in 2018, the market has also been favored by the agency.

In 2018 TP316L stainless steel tube market operation logic, supply and demand contradiction is easing, from the original supply and demand gap, to the future relatively rich.Steel exports will grow at a marginal rate, and production companies will return to normal profits.

In the future, TP316L stainless steel tube industry will enter the stage of structural adjustment. Green, energy saving and steady are the main theme of the industry development.For the TP316L stainless steel tube industry, there will be several development directions in the future: the proportion of electric furnace steel is gradually increased;One is the variety structure change, the ratio of special steel and some excellent steel will be increased;In addition, industry concentration will also improve in the future.Enterprise debt ratio, TP316L stainless steel tube industry has declined slightly this year, but it is a certain distance from the target of 60%.

3. High profit, the investor steel mill mood changes big.

1. Investor sentiment changes.
At present, the position of TP316L stainless steel tube is concentrated.Some investors are overweight and some positions are small.In the continued volatility of prices, some of the heavy investors continue to hold positions, while less open positions are held by investors.Investors in heavy positions can continue to hold, and the price hike is only now at the stage of 2/3 or 1/2, and the follow-up space is still very large.TP316L stainless steel tube market sentiment remains optimistic.

2. Physical enterprise emotions.
Steel mills and traders are raising prices aggressively.The downstream needs to be replenished, which is a big factor in raising the price.The whole TP316L stainless steel tube enterprise is more optimistic.The plan to produce false peak is the policy of "2+26" urban limit production in this year.Due to the follow-up and regulation of cisa, the TP316L stainless steel tube market has a new expectation on the price.Whether it is from the steel association or the NDRC's speech, it is only to contain the malicious operation, but there is little trend of the price suppression and production relaxation of the TP316L stainless steel tube.Recently, the market sentiment of TP316L stainless steel tube has begun to recover.So it depends on the fundamentals themselves.