Probe into the "double control" of Nanjing enterprises: the production and operation of most companies are normal, but there are also enterprises that reduce the production load, and the production equipment is suspended.

With the gradual upgrading of the policy of "double control of energy consumption", many manufacturing enterprises in Jiangsu are affected by power restriction and production restriction, and even stop production.

So what is the impact of Nanjing, as a key city in the chemical industry? To this end, on the afternoon of September 23, a reporter from the Financial Associated Press visited a number of chemical, iron and steel and other manufacturing enterprises in Nanjing.

Limited electricity affects some production lines to be suspended or overhauled.

In terms of the chemical industry, it should be noted that the scale of the chemical industry in Nanjing is relatively large, mainly concentrated in Nanjing Chemical Industry Park, large factories, Qixia along the Yangtze River, Yuhuatai Binjiang and other areas, and most of these enterprises are large power users.

Among them, at Jinling Petrochemical in Qixia, Nanjing, a reporter from the Financial Associated Press noticed that the company's production machines roared, workers in the factory went to work normally, and transport vehicles were constantly moving. According to a number of people from Jinling Petrochemical Company told the Financial Associated Press that the company's oil refining and chemical production is going on as usual and has not received any notice about suspending or limiting production.

The roar of machines can be heard in Jinling Sinopec.

Subsequently, the Financial Associated Press reporter went to Nanjing Chemical Fiber (600889.SH), at the scene reporters saw that the company's construction site is still in full swing, tower cranes, blast furnaces and so on are in operation. A Nanjing chemical fiber insider told the Financial Associated Press that there was no shutdown in Nanjing, but the company had arrangements to reduce production load, and individual production plants were now suspended.

Nanjing Chemical Fiber is still busy in the evening.

However, on the evening of September 23, Nanjing Chemical Fiber announced that Jiangsu Jinling Cellulose Fiber Co., Ltd., a wholly owned subsidiary of the company in Yancheng, was temporarily suspended on September 22, 2021 due to the shortage of power supply in Jiangsu Province. production is expected to resume in early October 2021. The announcement shows that driven by the sharp rise in the price of chemical raw materials, the production cost of Jiangsu Jinling viscose staple fiber products has increased greatly, and the sales gross profit has been negative.

In terms of the iron and steel industry, in Nanjing Iron and Steel Co., Ltd. (600282.SH), a reporter from the Financial Associated Press saw that the company's production was not affected and the chimneys along the river were being discharged. Nanjing Iron and Steel shares insiders told the Financial Associated Press that the company as a whole was not affected, but part of the production line was in a state of suspension of maintenance.

The chimney of Nanjing Iron and Steel Co., Ltd is emitting.

In addition, Shanghai Meishan Iron and Steel Co., Ltd. (referred to as "Meishan Iron and Steel"), located in Yuhuatai District, Nanjing, is a subsidiary of Baosteel (600019.SH). The company insiders told the Financial Associated Press that Meishan Iron and Steel has been affected to a certain extent, of which some of the cold rolling mill has suspended production and other departments are operating normally.

Meanwhile, at 300644.SZ, another listed company in Nanjing, a number of employees told the Financial Associated Press that work and work schedules after the Mid-Autumn Festival were business as usual and were not affected by power and production restrictions. The company also said on the investor interactive platform that Nanjing Julong adopts the production mode of fixed production based on sales, and the current production and operation is normal.

Restricted enterprises will resume one after another after the National Day.

In addition to the enterprises explored by a reporter of the Financial Associated Press, the reporter also learned from relevant insiders in Nanjing that there are relatively strong efforts on "double control of energy consumption" in Jiangsu Province, but enterprises in Nanjing as a whole are not greatly affected. only a small number of enterprises are affected by power cuts, and production is rarely shut down.

It is worth noting that although Nanjing enterprises have not been greatly affected, the production suspension of enterprises in other provinces and cities in Jiangsu Province is still continuing. On the evening of September 23rd, 002513.SZ issued a notice saying that recently, due to the tight power supply in Jiangsu, some of its production lines have been temporarily suspended. The production units involved in the temporary shutdown are: methyl thiophanate production unit (5000 tons / year), surfactant production unit (5000 tons / year), and thiocarbamate production plant (2000 tons / year). It is expected that the output of production restrictions will be restored after the tight situation of local power supply is alleviated.

At the same time, Chenghua shares (300610.SZ), Jujie Microfiber (300819.SZ), Shuangle shares (301036.SZ), Red Polaroid (002165.SZ), Jinji shares (300798.SZ) and other listed companies in Jiangsu Province also said that due to the impact of power supply, some production lines were temporarily suspended. In view of this, more companies choose to overhaul the production equipment during the shutdown period. For example, Huaian Chenghua, a subsidiary of Chenhua, will arrange to optimize process control and equipment maintenance, and the regular maintenance originally planned by Taixing Chemical Company of Red Polaroid in October will also be implemented ahead of schedule.

In this regard, a chemical industry analyst told the Financial Associated Press that Jiangsu is a major chemical province in China, for example, the output of pesticides accounts for about 40% of the country's production, and soda ash accounts for about 17% of the country's production capacity. At present, high energy-consuming industries such as rebar, yellow phosphorus, electrolytic aluminum and industrial silicon face strong energy consumption constraints. after the suspension of production in some parks in Jiangsu, the supply of some chemical products is insufficient, and the price shows a significant increase.

A reporter from the Financial Associated Press also learned from relevant insiders in Jiangsu Province that the verification of "double control of energy consumption" is the strictest in Taizhou, Nantong, Xuzhou and Yancheng in the province. Enterprises in these four cities are the most affected. Most of the enterprises that have been cut off, production and shutdown are also in these four cities. "restricted enterprises will gradually resume production after the National Day holiday, and will be resolved by late October at the latest."