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[SMM Special] Tangshan production restriction series report: production restriction policy gradually increased black department ushered in "multi-head red envelopes"
Jun 28,2019 16:27CST
translation
Source:SMM
The content below was translated by Tencent automatically for reference.

SMM6, 28 June: members of the standing Committee of the Tangshan Municipal Committee issued a "report on the Air quality of the whole City" on June 22, which said that from June 1 to 20, the Tangshan composite index was 6.821, rising 11.65 percent instead of falling, ranking first among the 168 cities in the country. The specific reasons include unfavorable meteorological conditions, limited production and no reduction in production, and so on. The next step will be to increase the intensity of emission reduction and stop production. Since July, the performance evaluation of Class A iron and steel enterprises sintering machine (pellets), blast furnace, converter production limit of 20%; other steel enterprises limited production rate of not less than 50%. In addition, Tangshan issued a "notice on stopping production restrictions for iron and steel enterprises in the city," which mentioned that it would increase the efforts of iron and steel enterprises to stop production and replace production capacity to stop production on time. "[SMM News] Tangshan informs steel enterprises to stop production and limit thread production by more than 3 per cent

"report on the Air quality of the whole City" issued by Tangshan City

Circular on stopping production restriction of Iron and Steel Enterprises in Tangshan City

On 23 June, it was learned from the stop production deployment meeting of iron and steel enterprises in Tangshan that in order to further reduce industrial pollutant emissions and improve the city's air quality, to reverse the high level of industrial gas pollution such as sulfur dioxide, nitrogen oxides, and carbon monooxide since June, Tangshan has decided on a new round of production restrictions for iron and steel enterprises. "Tangshan has determined the timetable for the suspension of production limits for iron and steel enterprises in the whole city.

On the afternoon of June 23, the Tangshan Ecological Office conducted interviews with nine environmental protection enterprises. At the fair, the Tangshan Ecological Office announced the environmental protection problems of these nine enterprises: from the evening of the 22nd to the morning of 23, the sulfur dioxide high value enterprises are: Chunxing Special Steel, HSBC Coking, Tangshan Iron and Steel North Plant, Tangshan Iron and Steel South Plant, Yongshun Coking Plant, and the monooxide carbon high value enterprises are: Tangshan Iron and Steel South Plant, Chunxing Special Steel, Rongyi Coking, Tangshan Iron and Steel North Plant, Tangshan Iron and Steel Co., Ltd., Tangshan Iron and Steel Co., Ltd. From 9: 00 on the 22nd to 9: 00 on the 23rd, the iron and steel enterprises that did not implement the June control instruction: Xinglong Iron and Steel, Rongcheng Special Steel, Huaxi Iron and Steel. 22 did not implement the task of traffic restrictions of enterprises: Tangshan Iron and Steel South Plant, Tangshan Iron and Steel North Plant. The person in charge of environmental protection of the enterprise interviewed at the scene reported on the investigation of the hidden dangers of environmental protection in the early stage and the next step of work, and stated that he sincerely accepted the requirements of the interview, said that he would seriously reflect on the problems, do a good job of self-examination and self-correction, and put an end to all objective reasons. After the meeting, he will report to the leaders in charge, immediately find out the problems, take practical and effective measures, carry out rectification and reform out of all possible means, and do everything possible to reduce the discharge of pollutants. Strictly implement the requirements of the municipal government on the suspension of production restrictions. "Tangshan Ecological Office interviewed 9 environmental protection enterprises

On the 24th, the office of the Tangshan people's Government issued the "Circular on stopping production restrictions for Iron and Steel Enterprises in the whole City." in response to the policy, various counties and districts in Tangshan City have one after another announced the list of production restrictions for iron and steel enterprises within their jurisdiction. "Tangshan regional iron and steel enterprises stop production list out!

According to the document issued by the office of the Tangshan people's government, the notice on stopping production of iron and steel enterprises in the city requires: "the proportion of limited production of sintering machines (pellets), converters and white ash kilns in iron and steel enterprises in the city shall not be less than 50%. And received this notice immediately stop production in place, blast furnace in place before June 27." Two iron and steel enterprises in Luannan County, Tangshan, have formulated and implemented control measures. "implementation Plan of production restriction Control for Iron and Steel Enterprises from June 24 to July 31 in Luannan County, Tangshan

The Tangshan municipal government recently released another "big move" to limit environmental protection and production. The market immediately reacted to the determination and intensity of the production restrictions. On the 24th, the main rebar contract reported an increase of 2.31 per cent to 3904 yuan per ton. At one point, the main contract of the hot coil rose as high as 5.45% after the opening of the main contract, and finally rose 3.69% to 3846 yuan / ton. Spot billet in Tangshan rose 50 yuan / ton over the weekend, on the 24th up another 10 yuan to 20 yuan / ton. Researchers believe that the Tangshan production restrictions on the current relationship between iron ore supply and demand will play a better role in easing. Steel prices rise in response to the "Tangshan re-release of Environmental Protection and production restriction"

According to SMM estimates, the production limit involves a total of 34 steel enterprises in Tangshan, in the current production limit period, if the strict implementation of the production limit is expected to affect pig iron production of 3.85 million tons, crude steel output of 4.081 million tons, iron ore demand of 6.622 million tons; In terms of steel, the production restriction has a great impact on the supply of plates and building materials. It is understood that in the limited production capacity of local steel enterprises, plates account for about 30%, while building materials account for more than 20%. Among them, the monthly production capacity of plate is expected to affect nearly 2 million tons, and the monthly production capacity of building materials is 1.3 million tons. Under the influence of the contraction of supply, demand has not declined significantly for the time being, steel prices are expected to rebound "on the line."

"Environmental Protection and production restriction" Dongfeng attack ", Steel Price starts to rebound (attached: Tangshan production restriction affects output estimation)

"Environmental Protection and production restriction" Dongfeng attack ", Steel Price starts to rebound (attached: list of Enterprises affected by Tangshan production restriction)

Affected by the production restriction news, the black system ushered in a "big explosion", as of the 28th day closing, thread, hot coil prices continued to rise.

 

Related report

The strategy of Shandong Province to issue new standards for the discharge of air pollutants to protect the blue sky has been upgraded: "in order to improve the quality of the atmospheric environment, the strategy of safeguarding the blue sky in Shandong Province has been continuously upgraded, and three local standards, including the newly revised Comprehensive discharge Standard for Regional Air pollutants, as the province's mandatory local standard for environmental protection, were formally implemented on November 1, 2019. Shandong is a major energy consumption province in China, the consumption structure is mainly coal combustion, the industrial structure is heavy, high pollution, high consumption industries account for a relatively high, the situation of prevention and control of air pollution is grim. Guo Dalii, a second-class inspector of the Shandong Provincial Market Supervision Administration, said at a news conference held by the provincial government on the 25th that the province has now built a complete "1-5-8" air pollutant emission standard system, including one regional comprehensive emission standard for air pollutants, five sub-industry emission standards for thermal power and iron and steel, and eight volatile organic compounds (VOC) emission standards. "

"Shanxi starts the fourth round of special inspection on the prevention and control of air pollution in three cities in northern Shanxi:" on 18 June, more than 30 business backbone from Taiyuan, Yangquan, and other eight cities in the front line of environmental law enforcement took part in the fourth round of special inspection and training on air pollution prevention and control in three cities in northern Shanxi organized in Datong City. Sun Baokang, deputy director of the Ecological Environment Law Enforcement Bureau of the Shanxi Ecological Environment Department, made pre-war mobilization arrangements. Immediately after the meeting, inspectors rushed to 34 counties (cities and districts) in Datong, Shuozhou and Xinzhou to carry out a special law enforcement inspection operation on air pollution for a period of half a month. "

The Tangshan iron and steel industry shows a trend of "four liters and four drops": "on June 24, the reporter learned from the meeting of the directors of the Tangshan Iron and Steel Industry Association in 2019. In recent years, by continuously reducing the total amount, excellent layout, improving quality, extending chain, and controlling pollution in the iron and steel industry, the development of the iron and steel industry has shown a good trend of" four liters and four drops. " Under the background of the structural adjustment of the iron and steel industry, Tangshan has conscientiously implemented the national and provincial decision-making arrangements in recent years, and the development of the iron and steel industry has shown a good trend of "four liters and four drops": first, the total production capacity has declined and economic benefits have improved; second, the proportion of low-end products has declined and the proportion of fine steel has increased; third, the number of enterprises has declined and the degree of industrial concentration has increased. Fourth, the intensity of emissions has declined, the efficiency of resource utilization has been improved, the influence and competitiveness of the Tangshan iron and steel industry in the whole country and even around the world have been further improved, and the sustained, healthy and high-quality development of the Tangshan iron and steel industry has been promoted. "

"Baoding City has promoted the comprehensive control of air pollution with" 6 key tasks "and" 14 special projects ":" focusing on the completion of the task throughout the year and taking advantage of the opportunity of the standing point of the Air Department of the Ministry of Ecological Environment, Baoding City has launched a 100-day campaign for the comprehensive control of air pollution, including 6 key tasks and 14 special projects. It also organized and held a video conference on the 100-day campaign to attack key problems in the comprehensive control of air pollution throughout the city (Baoding City), which was held at the top of the party and government in all villages and towns and the main responsible persons of relevant departments directly related to the city. At present, it is a weekly dispatch to promote implementation, with the aim of achieving the double decline of the comprehensive index and PM2.5 by the end of August, and ensuring the completion of the task target for the whole year. "

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