Coke and iron ore are two lifeblood of the development of iron and steel enterprises this year, both sharp price increases, some iron and steel enterprises in Shanxi Province by their own iron ore reducing costs; In addition, the domestic coke market prices stable , the international market price of coke due to the adjustment of the tariff rise, which makes the United States, Japan and some European steel production costs increase, iron and steel enterprises in Shanxi Province in the international market has a profit advantage.

This year, both coke and iron ore prices, create enormous pressure on operating results for the iron and steel enterprises in Shanxi Province. In the recent past, the major steel market in Shanxi Province have been "weak", showing the scene of lower prices, trading down. August 20, the state raised aluminum alloy, coke and coal export tariff policy was introduced, the policy may push up international coke, coal prices. The export tariff increase for iron and steel enterprises in Shanxi Province, will bring what the pros and cons?

Steel enterprises face the dual pressures of

August 21, Stainless Steel Co., Ltd. Shanxi Tim Lin Luo Yongzhong a man sitting alone in the office waiting for customers, he operated stainless steel products sales in recent months in poor condition, take the volume in July was only a few months ago The average amount of the third. He said, coke and iron ore are two lifeblood of the development of iron and steel enterprises this year, both sharp price increases, First sales of coke in Shanxi market price of 1300 yuan / ton in the beginning of the year, and now stands at per ton, nearly 3,000 yuan, the cost of iron and steel enterprises can imagine the pressure. In addition, iron ore prices also rose nearly doubled, squeezed some steel mills have cut production or prices. Recently, due to the decline in steel demand in the market, sales of steel products is limited, the market price is showing a downward trend.

Haixin Iron and Steel Co., Ltd., Shanxi Province is one of the largest from imported iron ore, 95 percent of its iron ore from CVRD and Australia's long-term imports. Import and export department of the company responsible person, last year from the price per ton of imported iron ore is about $ 100 per ton rose to more than 160 U.S. dollars, year-on-year 200 million tons of iron ore imports, need the extra expenditure of more than one hundred million U.S. dollars, which greatly increased the pressure on enterprise funds.

Their own mines to reduce costs

In the face of the pressure brought by the coke and iron ore rose, Taiyuan Iron and Steel Company sights on the mining industry, Taiyuan Iron and Steel Company yuanjiacun iron ore project started in Linxian reserves of more than ten million tons of high-quality coking coal resources the message attracted a high degree of attention in the same industry. Before to put into yuanjiacun iron ore project in Taiyuan Iron and Steel Company, they have too Mine Eagle's Nest iron ore iron ore project. Taiyuan Iron and Steel Company, said their company has iron ore resources to meet the majority of the enterprises of the supply of iron ore, far below the price of imported iron ore, iron ore prices is limited.

In fact, some large-scale iron and steel enterprises in Shanxi Province are seeking their own iron ore mining project, the iron ore mining project in Shanxi Linfen Iron and Steel Co., Ltd. Shanxi Second Mountain iron ore, Linfen Fushan - xiangfen iron ore area; Changzhi Iron and Steel (Group) Company has Shanxi long steel the Lugou mining the North Los Gap Mine, these business practices to the Shanxi steel prices provides a sample to solve the problem of iron ore and other resources.

Steel prices in the international market dominant

The Shanxi Coke holds the dominant position in the international market, coke export tax will be increased to 40% in the August 20 coke export tax. Province Coke Group a professional, said to reporters, the international market price of coke in the $ 600 to $ 700 per ton, if the export tax was adjusted to 40%, will the price of China's exports of coke per ton, up $ 90.

Iron and steel enterprises in Shanxi Province, Taiyuan Iron and Steel Company, Changzhi Iron and Steel Company, Shanxi Haixin Iron and Steel Company and a number of iron and steel enterprises, can be foreign imports of iron ore. In recent years, the iron ore import prices have been rising, the sharp rise in imports of iron ore last year, this year's Australian iron ore suppliers Rio Tinto iron ore to China "and" BHP Billiton "the highest price increase of 96% and 71%, while iron ore prices rose in Europe. "The iron ore prices, Europe or much lower than China's market, which will make the sharp drop in the cost advantage of China's iron and steel." Provincial steel industry association pointed out.

He said the increase in export tariffs, engaged in the export of iron and steel enterprises in Shanxi Province. Because in the case of the domestic coke market prices stable, international coke market prices rose because of the tariff adjustment, which makes the United States, Japan and some European iron and steel enterprises increased production costs, leaving the iron and steel enterprises in Shanxi Province in the international market have advantages profit. But for the whole of the steel industry in Shanxi Province, the increase of the tariff that the country is gradually control the export of high energy consumption enterprises, to find a long-term development of the iron and steel enterprises in the future must be energy saving, the intensive, the quality of the road.