"Our judgment on the development of the steel industry in the second half of the year is generally cautiously optimistic. The apparent demand for steel has not decreased significantly, and we ourselves are confident in the industry." On July 29, Luo Yuandong, vice president of Citic Pacific Special Steel Group Co., LTD., said in an interview with a reporter from China Metallurgical News during the sixth and sixth Council (expanded) meeting of the China Iron and Steel Industry Association that under various favorable conditions, the steel industry is expected to slowly recover from the bottom in the second half of the year.

Luo Yuandong is being interviewed by reporters of China Metallurgical News

"The steel industry can be said to be in a trough in the first half of the year, and it is a high probability event to recover from the trough in the second half of the year." Luo Yuandong said that on July 24, the meeting of the Political Bureau of the Central Committee was held, which laid the tone and pointed out the direction for the economic work in the second half of the year. Recently, the state has also introduced a series of policies to stimulate economic development, which are good for the operation and development of the steel industry in the second half of the year.

Luo Yuandong, for example, the current real estate and automobile industries are the two main directions of policy stimulus. "The real estate industry corresponds to the consumption of general steel, the automobile industry corresponds to the consumption of special steel, and these two industries are the pillars of steel consumption." He judged that if these two industries really start up, the steel industry will also turn upward.

"With the gradual implementation of favorable policies, the steel industry can recover quickly in at least the fourth quarter." Luo Yuandong also said that the transmission of favorable policies has a certain delay, and the faster the policy is in place, the greater the strength, the greater the stimulus to the positive development of the steel industry. In addition, he believes that with the increase of internal benefits, steel sales in the second half of the year may be more "from the outside to the inside."

"The situation in the steel industry in the first half of the year has made many companies feel the pressure, and everyone has suffered and consciously began to self-discipline." Luo Yuandong said that under the advocacy of CISA, the self-discipline of the steel industry has gradually increased, "coupled with some control of steel production capacity from the macro level by the state, from the supply side down to reduce one, from the demand side up to increase one, the entire industrial chain from destocking to increase inventory, this process is good for the entire industry."

When it comes to how to do well, Luo Yuandong believes that we must first hold the bottom line and the red line, the bottom line is that the loss of products do not produce, the red line is quality and safety. "Now there is a popular saying called 'roll', 'roll' has been a normal, but in the 'roll' at the same time must stick to the bottom line," he said. In addition, Luo Yuandong pointed out that we should firmly go our own way and join hands with the industrial chain to "strong chain". "Including construction machinery, auto parts, auto vehicles and other industries, we hope to work together with you in the green and low-carbon industrial chain progress, only everyone together 'strong chain', the industrial chain will have a long-term, healthy and stable development." Luo Yuandong finally said.