In the first half of the year, private steel companies in Hebei Province are the main profit

In the first half of 2012, the crude steel output of the Hebei steel industry was 99.6966 million tons, an increase of 3.62% year-on-year, and the profit was 6.904 billion yuan, a year-on-year decrease of 53.12%. During the same period, the country produced a total of 357 million tons of crude steel, an increase of 1.8% year-on-year, and a profit of 2.385 billion yuan, a year-on-year drop of 95.81%. Hebei's steel industry in the first half of the year presented three major characteristics:

First, the growth rate of crude steel production has fallen sharply year-on-year, and all new steel production comes from local private steel companies. From January to June, crude steel production in Hebei Province was 9,939,600 tons, an increase of 3.62% year-on-year. During the same period, the country produced a total of 357 million tons of crude steel, an increase of 1.8% over the same period last year. Among them, the output of crude steel of the steel association members decreased by 0.1% year-on-year, indicating that the new crude steel production since the beginning of this year all came from non-member local small and medium-sized steel enterprises.

The second is to achieve a substantial decline in profits, private steel enterprises as the main profit. From January to June, the steel industry in Hebei achieved a profit of 6.904 billion yuan, a year-on-year decrease of 53.12%; sales margin decreased from 2.3% in the same period last year to 1.18%, and the average profit level was very low. During the same period, large and medium-sized steel companies across the country achieved a profit of 2.385 billion yuan, a year-on-year decrease of 95.81%. The sales margin decreased from 3.06% in the same period of last year to 0.13%. It is worth noting that in the first half of the year, Hebei's private steel companies realized profits of 5.994 billion yuan, accounting for 86.82% of the total profits of the province's steel industry.

The third is the growth of steel exports. From January to June, the export value of Hebei steel industry completed 15.828 billion yuan, a year-on-year increase of 21.95%. During the same period, the country’s net export of crude steel was 21.4 million tons, a year-on-year increase of 25.6%, which played a role in alleviating the pressure on the domestic market.