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Agricultural products continue to fluctuate weakly Chemicals cautious callback

The hit of environmental protection strong winds such as heat production in limited seasons has caused severe cracking in steel, chemical, cement, electrolytic aluminum and other industries. People in the industry believe that by the end of the year, the steel market will surely be a turmoil and prices will continue to push up. However, the production of cement peak shifting will cause negative growth in 2017, and the chemical industry will show a trend of polarization. The small number of scattered chemical plants and small-product companies will be the focus of environmental supervision. These enterprises will be eliminated from the competition. In the long run, it is good for the entire industry.

Since the 18th National Party Congress, the reform of the ecological civilization system has been placed in a prominent position in comprehensively deepening the reform work. In September 2015, the Central Committee of the Communist Party of China and the State Council issued the "Overall Plan for the Reform of the Ecological Civilization System." The "1+N" form of the top-level system design started. Since then, the Central Deep-Reform Group meeting has reviewed and approved a series of supporting policy documents related to the reform of ecological civilization. Since the beginning of this year, environmental protection-related policies such as the 2017 Beijing-Tianjin-Hebei-Jiangxi-Hebei-Area Air Pollution Prevention and Control Work Program have been intensively introduced, while the central environmental supervision has achieved full coverage in 31 provinces, autonomous regions and municipalities, and has solved a large number of outstanding environmental problems. .

Under this, the place moved. Hebei Province, a major steel province, proposed that Baoding, Langfang, and Zhangjiakou will create a “steelless market,” Zhangjiakou will basically realize a “mineral-free city,” and Zhangjiakou, Langfang, Baoding, and Hengshui will strive to achieve a “non-focus market”. “A number of environmental protection policies are superimposed, and there are few remaining steel companies in production.” Yi Yi, chief editor of the metal industry, Yi Yi told the reporter of the “Economic Information Daily”.

However, the strong winds of environmental protection are still behind. According to the 2017 Work Plan for Prevention and Control of Atmospheric Pollution in Beijing, Tianjin, Hebei and Neighboring Regions, the heating industry of “2+26” urban industrial enterprises will shift to peak production. The cement and foundry industry has completely misaligned production, and in addition to undertaking the people’s livelihood tasks, the heating season has all peak production. From September 15th, the Ministry of Environmental Protection launched an atmospheric inspection of the Beijing-Tianjin-Hebei region in the autumn and winter. This inspection is aimed at enterprises and governments that participate in the “2+26” urban air pollution control in autumn and winter.

Yi Yi believes that by the end of the year, the steel market will surely be a turmoil and prices will continue to push up. Taking the rebar price as an example, there will still be 200-300 yuan/ton upward space in the later period. But need to be cautiously chasing.

According to Jiang Chao, an analyst at Haitong Securities, production in 28 cities in 2016 accounted for one-fifth of the country's total, while cement production in the country increased by only 0.3% in the first seven months of 2017. Therefore, peaking production may cause negative growth in 2017 production.

From the perspective of the chemical industry, Wang Zhenxian, chief editor of the gold energy industry and chemical industry, said that at present, China's chemical companies show polarization. The major bulk chemicals production is concentrated in the hands of large-scale private enterprises such as three barrels of oil and ground refining. The supporting environmental protection measures of these enterprises are generally well-established. Due to the great impact on the local economy and the large social impact, environmental supervision has a limited impact. On the other hand, there are a large number of scattered small chemical plants and small-product enterprises. The long-term lack of supervision will be the focus of environmental supervision. Environmental supervision has been positive for chemical companies for a long time. Policy thresholds can eliminate some relatively inefficient small enterprises.

 

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