Most concerned about the difficulties of industrie

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Pay attention to the difficulties of industries with excess capacity

guide to reading when the load can no longer rise: pay attention to the difficulties of industries with excess capacity. We should not only tighten the fence but also provide timely help. We should strictly control the blind expansion and repeated construction of industries with excess capacity. We should combine the control of increment with the optimization of stock, and the acceleration of elimination with the promotion of development

recently, the person in charge of a large iron and steel enterprise frankly said that the entire iron and steel industry is facing unprecedented difficulties and is in an unpopular situation everywhere. It is difficult to get support even to promote transformation and upgrading

the situation reflected by the responsible person deserves attention. In the past two years, the steel market price has dropped sharply, and the economic benefits of the industry have declined sharply. According to the statistics of the iron and Steel Industry Association, in the first quarter of this year, the losses of large and medium-sized iron and steel enterprises in key statistics exceeded 2.3 billion yuan, with a cumulative loss of more than 45%, and the inventory is still growing significantly. At the end of March, the social inventory has increased by more than 40% compared with the beginning of the year. Many enterprises also reported that financial institutions had strict credit policies for the steel industry, reducing the scale of credit and raising the loan interest rate, making it even more difficult for production and operation. It is estimated that the financial expenses of iron and steel enterprises increased by 22.17% year-on-year in the first quarter of this year, showing a sharp upward trend

in fact, it is not only the steel industry, but also the industries with overcapacity that generally have a hard time. Since the beginning of this year, China's industry has been slowing down and stabilizing, and structural adjustment has been progressing steadily. However, due to reduced market demand and serious overcapacity in some high energy consuming and high emission industries, capacity utilization has continued to decline, operating difficulties have increased, and even the whole industry has suffered losses. According to the latest figures of the National Bureau of statistics, from January to April this year, the total profits and main activity profits of non-ferrous metal smelting and rolling processing industries above designated size decreased by 5.9% and 10.5% respectively year-on-year. According to statistics, at present, the capacity utilization rate of cement, electrolytic aluminum, flat glass and ships in China is less than 80%, and some are only about 70%

in the face of the severe situation, many enterprises have racked their brains to reduce costs and increase efficiency. They have even invested in stocks, engaged in financial management, and even engaged in the breeding industry to expand the income of non main industries, but with little success. Considering that external demand is difficult to recover in the short term, domestic demand is subject to the cooling of the property market, and cost pressure is still increasing, it is not easy for industries with excess capacity to get out of their current difficulties by themselves

the gradual withdrawal of excess capacity and the survival of the fittest is the general trend, but it also needs a smooth transition. This is because it involves not only many traditional industries, but also many emerging industries such as wind power equipment and polysilicon. It is also expected that the global demand for extruded equipment will result in the employment of thousands of people. Without practical attention and effective measures, it is very easy to see a series of problems, such as enterprise bankruptcy or insufficient construction, layoffs and unemployment, and a large increase in non-performing assets of banks, which will affect the overall situation of reform, development and stability

pay close attention to the difficulties of industries with excess capacity. The top priority is to tighten the fence and provide timely assistance. On the one hand, we should strictly control the blind expansion and repeated construction of industries with excess capacity. We should not open the door to the pain of adjustment, so as to confirm the applicability of materials to a certain process and terminal use. We should allow the scale and spread of the materials, intensify the vicious competition in the market, and let the early achievements be wasted. On the other hand, we should not simplify and mechanize the control. We should combine the control of increment with the optimization of stock, and accelerate the elimination with the promotion of development. For enterprise merger and reorganization, transfer of production capacity, optimization of stock and adjustment of product structure in 2016 by relying on technological progress, we should not only encourage, but also actively guide, through the relevant policy support for the transformation and development of exiting enterprises, guide enterprises to do quantity subtraction and quality addition at the same time, so as to improve their core competitiveness. Financial institutions should adhere to ownership control, not only to prevent capital from flowing into backward production capacity, but also to provide credit support to enterprises that comply with industrial development policies and have market products. At the same time, it is necessary to strengthen the dynamic monitoring of industries with serious overcapacity, improve the assistance mechanism, guide the placement of workers, increase the intensity of burden reduction, minimize the losses of exiting enterprises and mitigate the shocks in the adjustment

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