According to Su Changyong, Deputy Secretary General of CISA and Director of the CISA International Cooperation Department, who spoke at the Asian Steel Forum held in Beijing on July 16, the 15th Five-year plan period is crucial for China's steel industry to strengthen its global position and increase competitiveness.
China's 15th Five-year Plan calls for the modernization of key industries and the strengthening of the global position and competitiveness of mining, metallurgy, engineering, shipbuilding, construction industries and others.
As the backbone of the national economy and a key factor in industrial stability, Mr. Su said that China's steel sector is currently facing oversupply and weak solvent demand, which poses a major challenge to the quality and profitability of the sector. Thus, the goal is to ensure industrial returns, balance the fundamentals of supply and demand, optimize the structure of industry, strengthen efficient supply, and implement low-carbon and digital transformation. Therefore, promoting international growth is seen as an important method.
Common approaches to the internationalization of China's steel industry are to prioritize outbound investment, using investment to promote integrated exports of technology, equipment, standards, and management; geographically, focusing on emerging markets along the Belt and Road, and taking advantage of opportunities in developed markets; while internationalization should serve as an overall development strategy steel in China and balance both domestic and foreign markets.
There are three key areas: coordinating outbound investment and steel exports with the overall goal of stabilizing and expanding China's share of the global steel market; coordinating domestic enterprises to avoid fierce competition and promote collective expansion abroad; and coordinating with host country governments and enterprises to ensure effective localization.
The basic principles of the globalization of the Chinese steel industry include maintaining the leading position of enterprises and maintaining market orientation; focusing on results and mutual benefit; encouraging competitive firms and advanced capabilities to go abroad, as well as strengthening coordination and orderly implementation.
The main goals of the globalization of the steel industry
