35crmo alloy tube continues to cut prices


The prices of 35CrMo alloy tubes have continued to fall, significantly impacting the steel industry. This downward trend has created challenges for many steel traders who have struggled to move inventory this year, resulting in limited winter stockpiles. With no active winter storage market, steel mills are facing heavy backlogs and slow shipment processes. As temperatures dropped in late November, shipping difficulties for traders increased further. To maintain shipments, price quotations remained low despite earlier price increases. However, recent days have seen a decline in prices again, with weak demand still persisting. Currently, national steel inventories have stopped their sharp decline, showing only minor fluctuations. In northern regions, the social inventory of 35CrMo alloy pipes is gradually decreasing, but in southern areas, inventory levels have not yet shown significant growth. Over recent years, the overall profit margin for China's steel industry has been on a steady decline, dropping from 7.26% in 2007 to 2.42% in 2011—the lowest level among all industries nationwide. Many domestic steel companies, including Hebei Iron and Steel Group, are now operating with minimal profits or even losses. Liu Qiuping emphasized that “steel mills aim to increase direct sales, and e-commerce platforms can help achieve this goal. Expanding sales channels will boost the sales share of Hebei Iron and Steel Group.” To mitigate the impact on the 35CrMo pipe sector, Wang Yifang, chairman and general manager of Hebei Iron and Steel Group, stated that during the 12th Five-Year Plan period, the company would continue to develop and expand into diversified industries. The establishment of the “Hebei Iron and Steel Trading Center” is a key part of this strategy, reflecting the group’s broader industrial transformation efforts. These measures are essential for improving competitiveness and ensuring long-term stability in a challenging market environment.

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