1. Stainless steel tube processing enterprises rely on outside foreign raw materials, in the situation of the stainless steel pipe production soared, the material source is very nervous, iron ore price rising increase the cost of stainless steel tube, enterprises unable to participate in the fierce market competition, so the enterprise operating rate is very low and production and management are difficult.
2. Small size of seamless stainless steel pipe and stainless steel welded pipe because of less investment, a large number of private enterprises redundant construction, they rely on the advantages of low cost, flexible policy with the old state-owned enterprises to compete stainless steel pipe market. The main technical and economic indicators needs to be further improved to enhance competitiveness in domestic and foreign markets. At present, the rate of finished hot-rolled finished steel in China in about 93%, the useful rate of hot-rolled seamless stainless steel tubes depending on their level of technical equipment of different volatile technologically advanced mill is generally 90-92%; Technological backwardness mill only about 80%. Hot-rolled seamless power consumption: Advanced mill is 100- 150kWh / t, the backwardness mill for more than 300kWh / t; Mill operating rates: Advanced mill for more than 75%, backward rolling mill for less than 70%. In short, these indicators with the international advanced level still have gap and need to improve. High value-added and tech content stainless steel tube, can not fully meet the demand in the short term. Such as special thread casing and X70 stainless steel tube, due to the constraints of the raw materials, most rely on imports; High grade steel high- pressure boiler pipe, oil well drill pipe, and still some of the imported. Source:al-metal.org
