China will maintain world leadership in the production of cast iron and steel

China has been dominated by the world metallurgical industry for more than thirty years. From 1980 to 2011, the annual production volume increased by 832 million tons. The production of cast iron has grown especially strongly. So if in 1980 Chinese metallurgists produced 38 million tons of cast iron (7% of world production), then in 2011 the share of China in the world production of cast iron amounted to 58.5% or 630 million tons of 1 billion 78 million global production.

This year, the production of steel and cast iron in China will exceed 46% of the global indicator. This figure could be even greater, but the internal rules for the production and implementation of steel in China (as in Ukraine) are very different from those accepted in the entire civilized world.

Firstly, most of the steel industry is concentrated in the hands of one owner - in this case, the state. Secondly, the steel supply system in China (as in Ukraine) is significantly different from sales mechanisms in Western countries and, as surprisingly, in Russia. The Chinese sales system is torn from the real consumer and is carried out by distributing products from the factory to the monopoly distributor, then the metal rolling passes through the bureaucratic distribution distribution network and is finally sold by small, most often one person, companies.

The lack of direct contact of the consumer and the manufacturer, combined with speculation in the market, often leads to the lack of orders and excessive reserves in the warehouses of metallurgical enterprises and their distributor in China. Prices for metal rubles in China change regularly - once a week and are set by the research institute of the same distributor. With all this, preliminary payment is required in full for the not -so period.

Such a sales system is fundamentally different from the western one, where most of the transactions are made directly between the consumer and the manufacturer of the metal rolling, in extreme cases, the buyer makes the acquisition of minor volumes through the dealer network of the missile plant. But in this case, the buyer understands that he is overpaying for cutting, cutting, etc. The metal distribution rises several times in price before it is realized by the final client. But unlike China and Ukraine, the client in the West always has an understandable choice between buying on order at a metallurgical plant or from the presence of a dealer.





The Ukrainian company "Roofing Instrument" represents professional metal scissors from eminent European manufacturers. Scissors for metal "Stubai" Austrian company are ideal for cutting the curved surface, and high -quality scissors from the German "Erdi" will cope with stainless steel of increased strength.