This Period Is A Hard Time For A TP316L Stainless Steel Seamless Pipe Production Enterprise And Trading Enterprise

The sharp decline in the export orders of stainless steel products in the early stage and the decline in demand caused by the suspension of production and shutdown of foreign manufacturing affected by the epidemic were the leading factors for the significant decline in 316L stainless steel seamless pipe exports in May.

At present,because of weak external demand, stainless steel export orders are still insufficient, and the export volume of stainless steel will remain low in the future.

The lack of price advantage is also an important reason for the decline in stainless steel seamless pipe exports

In May, with the accelerated recovery of the Chinese economy, the seasonal seasonal demand was superimposed, and the downstream demand was concentrated, the domestic TP316L stainless steel pipe and fittings market rose significantly, driving stainless steel export quotations to continue to rise, showing that China’s stainless steel export price advantage no longer exists.

Due to the emergence of export price advantages of other countries, my country’s stainless steel exports have encountered some resistance; and compared with the domestic market, imported stainless steel still has profits, so it has also caused a significant increase in the import of stainless steel.

Global manufacturing has rebounded, 316L stainless steel seamless pipe external demand is still weak

In the context of a significant acceleration of global resumption of production and production, the global manufacturing PMI showed a bottom-up trend, but most countries are still below 45%, reflecting the weak recovery of the global economy.

The World Bank recently said that due to the impact of the new coronavirus pandemic, the global economy is expected to shrink by about 5.2% in 2020, becoming one of the four worst recessions in 150 years. The global economic contraction will cause the demand for TP316L stainless steel seamless pipes to decline.

Stainless steel export orders are still insufficient

In May, driven by the rebound in the global manufacturing bottom, the export order index of the TP316L stainless steel industry has recovered. Although both of the two major export order indexes have rebounded, they are still operating in a contracted range, reflecting that the export orders from TP316L stainless steel seamless pipe manufacturers and trading companies are still not optimistic.