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          The influence of market economy on the insufficient operating rate of cemented carbide enterprises?

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          The influence of market economy on the insufficient operating rate of cemented carbide enterprises?

          Release date:2020-11-18 Author: Click:

              1. Basic situation of economic operation


             The current market situation is severe and competition is fierce. Cemented carbide enterprises in Jiangxi Province generally under-operated this year. Affected by the fall in product prices, the tungsten industry has increased the rate of year-on-year decline in profits and taxes, and the rate of year-on-year growth in output and revenue has decreased.


          At the end of July, there were 107 tungsten enterprises above designated size in Jiangxi Province; from January to July, the equivalent volume of tungsten concentrates totaled 24,000 tons, a year-on-year increase of 13.8%; main business income was 19.25 billion yuan, a year-on-year increase of 20.7%; profits and taxes were 1.98 billion yuan, a year-on-year decrease 4.9%, of which: a profit of 1.26 billion yuan, a year-on-year decrease of 14.0%, and a tax of 720 million yuan, a year-on-year increase of 16.7%.


             Since the beginning of this year, the average operating rate of tungsten products enterprises in the province has been around 70%. The smelting and processing enterprises without tungsten mines are in a state of semi-stop production, and the operating rate of smelting and processing enterprises with tungsten and molybdenum mines has reached about 90%. The operating rate of tungsten enterprises is slightly higher than that of rare earth and copper enterprises.


             2. The current main problems


             One is the decrease in corporate orders and the drop in product prices. Affected by the sluggish global market demand, product prices showed a general downward trend. At present, the demand of non-ferrous metal downstream companies is not active, mainly because the price is still falling, and downstream companies are in a wait-and-see state, "worry that the price will fall again after buying.


             The second is that there are few production mandatory planning targets. The smelting industry is generally under-operated, especially the raw ore cannot get an effective supply guarantee.


          异型耐磨件

           

          Three, cause analysis


             (1) The industry market is sluggish and recovery is difficult.


             At present, the downside risk of the world economy is still relatively high, and most countries in the euro zone are simultaneously in a situation of "double crisis" in debt and prosperity. The unemployment rate in the United States has rebounded, consumer confidence has fallen, and the economic recovery is lacking momentum. Emerging economies are facing structural adjustment pressure, the economic slowdown has exceeded expectations, and the world economy is facing increased uncertainty. In the context of the continued downturn in the global economic situation, product prices may fall further, but the extent of the decline is limited. Some people predict that the global economy will experience a cold winter of about three years.     Due to the global economic slowdown, product prices in the non-ferrous metal industry have fallen or slump, and price factors have become the primary reason for the recovery of the non-ferrous industry.


             (2) The market is down, and business risks are increasing.


             Product prices continued to fall, non-ferrous metal products became more competitive, and tungsten prices fell month by month. At the same time, electricity costs and labor costs rose significantly year-on-year, and labor costs rose by an average of 16% year-on-year.     companies are facing downward pressure from the market, the prices of inventory products have fallen from the beginning of the year, and the falling prices of inventory products have increased operating risks.


             (3) Business orders have decreased and product prices have fallen. Affected by the sluggish global market demand, the prices of non-ferrous products showed a general downward trend. The supply and demand of the tungsten market is basically balanced, which is higher than the concentration of the rare earth and copper industries. In 2011, the price of tungsten hit a record high (tungsten concentrate 153,000 yuan/ton), and now it is still at a high level (tungsten concentrate 103,000 yuan/ton) ). This year, the price of tungsten has a smaller decline than the price of rare earths, and is more stable than the prices of rare earths and copper, but there is still a downward trend. It is estimated that the downward space is limited.


             (4) There were signs of economic stabilization in the middle of the year, but the trend of economic downturn has not been fundamentally reversed. With a series of economic stimulus policies such as the central bank cut interest rates, it is expected that the fourth quarter will gradually reverse the continued economic decline and regain growth momentum. With the improvement of the country's macroeconomic environment, the price of non-ferrous metal products is expected to be a low-level shock and rebound trend. The price will curb the obvious decline in the previous period and show a momentum of rebound. Exports are affected by the deep-seated contradictions of the world economy, rising corporate costs, appreciation of the renminbi, and funding constraints. It is expected that exports will not recover significantly in the future.


             Fourth, the current thinking to solve the corporate dilemma


          1. Seize the current favorable opportunity to reduce the construction cost, grasp the project, launch the project, build the project, consolidate the foundation, consolidate the foundation, strengthen the body, improve management, reduce costs, improve product quality, comprehensively arrange internal control work, and comprehensively Improve the market competitiveness of enterprises.


            2. Make full use of the various preferential policies of the state to support the revitalization and development of the southern Jiangxi Soviet area, strive for more tungsten processing application projects to settle in Jiangxi, increase investment in existing projects, and ensure that projects under construction are carried out on schedule.


            3. Build a development platform and expand space. Promote the expansion of the park area, improve the ability to undertake industrial transfers, plan to build special parks such as tungsten science and technology industrial parks, resource secondary utilization circular economy industrial bases, and promote the construction of characteristic industrial parks with high standards.


             Five, some suggestions


            1. In view of the common problems in the development of the tungsten industry, it is recommended to introduce support policies for the tungsten industry, such as product structural tax reduction and exemption, and provision of discount loans, etc., to improve the comprehensive resource recycling and utilization tax reduction policy to help companies overcome difficulties.


            2. Supporting policies and mandatory plans are tilted towards advantageous enterprises, which are conducive to protecting resources and the environment, and conducive to energy conservation and emission reduction. At the same time, enterprises are encouraged to import tungsten metal ore.


             3. It is recommended that the current export tariffs on non-ferrous metal deep-processed products should be cancelled and the export tax rebate rate for non-ferrous metal deep-processed products should be increased.


             4. Vigorously develop circular economy and deepen comprehensive utilization of resources. Through technological innovation, adjusting product structure, optimizing economic indicators, increasing selection and smelting yield, comprehensive utilization of limited resources, reducing consumption, thereby reducing costs, and reducing inflation and pressure caused by product price declines .


             5. It is recommended to extend the assessment time for enterprises. Because of the cyclical changes in the global economy, the annual corporate assessment is too short and does not adequately reflect the business situation of the enterprise. It is recommended to extend the assessment time for enterprises appropriately and extend the assessment to 2-3 years for enterprises.


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