Along with the environmental protection limit production and the ore inventory level of seamless steel tube steel plant falls, the steel plant purchasing strength will certainly rise. It is particularly important to note that the current iron ore price has been out of the trough, facing a large probability of substantial increase, steel seamless steel pipe enterprises should timely adjust their procurement policy.
This year, the supply of seamless steel pipe will be larger. However, domestic steel supply may be limited or disturbed this year¡¶ According to the air pollution prevention and control work plan of Beijing Tianjin Hebei and its surrounding areas in 2017 (Draft for comments), the environment of Beijing, Tianjin, Hebei, Shandong, Shanxi, Shandong Province and "226" cities in the province will be treated in 2017. The supervision team of the Ministry of environmental protection has visited all provinces, and steel production in these areas has been affected, and steel mills in Tangshan and other places may have large-scale production reduction. In addition, the access standard of iron and steel industry will be stricter, and some enterprises adopting medium frequency furnace production process will be forced to stop production. Before the recessive medium frequency furnace capacity will be dominant, the output data can not fully reflect the change of real supply, the real supply and demand of seamless steel pipe market is more tense.