Maintenance arrangements for some steel companies during the summit
During the summit, some steel companies' maintenance arrangements:
1. Juneng Special Steel is currently undergoing maintenance of a 450m3 blast furnace, and it is expected to resume production at the end of June. The blast furnace will produce 40,000 tons of molten iron per month. The steel plant plans to increase the ratio of scrap steel to converters and electric furnaces, which will affect the output of about 10,000 tons of bars. /month.
2. Fulun Steel Plant plans to suspend production for overhaul of the bar production line at the end of May. It is estimated to be about 20-30 days. The specific start time is yet to be determined, which will affect the average daily bar production of about 2,000 tons.
3. Luli Steel Plant plans to shut down a 1080m3 blast furnace in May. The start time is to be determined, and the maintenance time is one month; during this period, the two rolling lines are in normal production, which affects the average daily steel output of about 3 million tons.
Coking plant: From what we have learned, it can be seen that almost no coking companies have received clear production restriction documents, and most of them are now in normal production; but most coking companies have indicated that environmental inspections are showing signs of tightening. Environmental protection facilities and the distance from the venue will have different levels of production restriction measures, and the specific production restrictions are difficult to estimate.
Downstream: all construction sites within 100 kilometers of Qingdao will be suspended
Downstream companies have reported that construction sites within 100 kilometers of Qingdao area require all construction to be suspended from about May 20 to June 20, and construction sites 300 kilometers away are still under normal operation.
Iron ore: Steel mills are proactive in purchasing or preparing for storage in advance. Qingdao Port has an increase in daily port volume
The ship arrivals in Shandong and Tangshan have been relatively stable recently, and the port has continued to maintain a high level. The Tangshan area was closed due to strong winds for one day last week, and unloading was affected, and the port inventory dropped slightly. Recently, steel plants in Shandong have been actively purchasing. The average daily port port volume of Qingdao Port has increased. Last week, the overall average daily port port volume increased by 95,000 tons to 2.54 million tons on a week-on-week basis. Limestone and dolomite mines, lime kilns and dolomite kilns in Linyi area have also been notified of the suspension of production and started to cease production on May 20.
Transportation: "Transfer to Railway" policy is introduced; transportation in Qingdao is restricted
It was learned on May 18 that the Ministry of Ecology and Environment is brewing new regulations to promote the adjustment of the transportation structure. The Ministry of Ecology and Environment proposed that before the end of September 2018, the transportation of coal in the coastal ports of Shandong and the Yangtze River Delta will be replaced by railways. Before the end of 2019, the ore, steel, coke, etc. of the coastal ports in the Beijing-Tianjin-Hebei and surrounding areas and the Yangtze River Delta will be replaced by railways. All bulk cargoes shall be transported by railway, and the transportation of trucks in the port is forbidden. Since May 20th, the Qingdao area has strengthened the control of transportation. Some traders reported that due to the suspension of trucks in the Qingdao area, the delivery of steel products in the Qingdao area has been suspended.
In terms of ports, the collection and dredging of Rizhao Port and Dongjiakou Port are currently normal, but due to the high level of coke inventory, which is close to the upper limit of the storage capacity, the shipping schedule must be signed for the coke in the port, otherwise it will not be allowed to enter. However, it is understood that the port auto transport starting in late May may be slightly affected, and the auto transport may be halved from the end of May to June 12, and the specific situation has yet to be issued by the official document.
