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The Development of Galvanized Steel Pipe Industry
Posted: 06/18/2016 14:45:48  Hits: 46
Rebar futures fell on Monday is the reaction that markets against the "New Deal", is likely to be the end of the rebar futures fell, if it can return to above 60 per line on the next trading day , it’s very likely that hot dip galvanized pipe will increase. "Analysts said, the stipulation of the housing market in the" New Deal "about value-added part of individual real estate sales collecting 20% income tax will reduce the supply of second-hand housing market, force the house-purchase demand tilt to the newly-built house demand, thereby it will promote the rate of operation of new house, and it will benefit rebar. The reporter get it from a house agent in Shanghai, after introducing "New Deal", the second-hand housing in Shanghai sales well, both buyers and sellers hope to finish buying and selling before implementing the detailed rules . And after the "New Deal" implemented, the transaction of new house is expected to expand further. From the beginning of July, There are several buildings under construction in Jiangsu, Zhejiang and Shanghai. In the long run, the introduction and implementation of the regulations of "New Deal" will benefit the construction of urbanization.
 
Recently, although downstream terminal purchasing rose again slightly, inventories fell, the stability still remain to be seen, and real estate, automobile, shipbuilding and other industries didn’t recover obviously. 

As for how long the current steel prices rally can last, and whether it presages have formed steel price turning point or not, experts believe that businesses should not be too optimistic. Jiangsu Shagang Group Co., Ltd. raised more conservative in mid-march, the policy of Baosteel in April is out of the expected tone that maintain stability and reduce price. The pricing policy of galvanized steel pipe steel is somewhat does not conform to the rules, the intention of waiting the bearish market is relatively obvious. Perhaps it is an action taken base on cost reduction of iron ore and other raw material. Just in order to get more orders, but obviously, it’s more difficult for Tianjin market to judge lately. 

There are 61778 new projects under construction during the first three months of this year, increased by 8516, compared with the same period last year. Manufacturing PMI picked up for three consecutive month-on-month and reached 53.1 in March, These all showed seasonal demand become better and provided the safeguard for the rising of steel mill. Since March this year, the speed of the steel reduce inventory is relatively slow. At present, five varieties of inventory have a total of 17.45 million tons, the maximum fell by 8.2% compared with 8 weeks ago. Under the circumstance of the original inventory declining relatively slowly and resources still increasing, supply pressure will appear again in future. 

Whether the iron ore spot trading platform can be pressed back to iron ore pricing right or not, experts said that the opening of the trading platforms added a channel for iron ore trading, but had no effect on iron ore supply and demand structure, and high-pressure alloy pipe pricing right is mainly determined by the relationship of iron ore supply and demand. At the same time, the platform also accelerated the advance of the process of spot iron ore trade, and made steel mills more difficult to control raw material cost .It’s still worrying for galvanized steel pipe price factory to improve their profit.




 
 


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