The Road Of "Forced" Boutique -- A Report From Xinsteel

In September last year, a new large steel container named "new steel" was launched in Zhejiang.

This is China's first container ship with independent intellectual property rights. The ship's board is basically supplied by Xinsteel, with a total of more than 1.2 tons.

The launch of the new steel number symbolizes the output and quality of the ship plate produced by Xinsteel, and has withstood the baptism of the market and is sailing in the sea of the market economy.

The good news followed.

Last year, Xinsteel produced 1 million 365 thousand tons of ship plate, and its output and domestic market share ranked first in the country. In the past, Xinsteel ship board was certified by the domestic classification society, and now it has been developed by China, the United States, South Korea and other 9 country classification societies. It can be placed in the leading domestic level. The Yuan River brand ship plate has won the title of "China famous brand product", which has been sold to the coastal areas along the Yangtze River and exported to Korea, Southeast Asia, the European Union and other countries and regions. It has also become the world's largest shipbuilding enterprise -- a long-term partner of Korea modern heavy industry. In March this year, as the only ship manufacturing enterprise in China, the shipbuilding board of Xinsteel has participated in the tenth Asia Pacific Maritime Exhibition in Singapore.

In the words of Li Wenhua, deputy general manager of the company, Xinyang steel is able to make the market force today, and is forcing a "boutique road".

Xinsteel was once fragile.

Steel is larger than iron and iron than the inverted triangle industrial structure, so that under the impact of market economy, new steel has a poor ability to resist risks. Profitability, profitability and profit margins almost depend entirely on the ups and downs of the market.

How to keep pace with the development of China's steel industry and the world's steel industry?

How can we find our own position in the fierce market competition and become an invincible position?

This is a problem that new steel has to face and have to solve when it comes to life and death.

After many ups and downs, through confusion, exploration, thinking and debate, Xinsteel finally found its own direction of development -- implementing the "quality strategy" and taking the path of development of variety synergy, quality and efficiency.

This is a deliberate choice.

Xinsteel is living in the inland area without the advantages of resources, location and market.

At the same time, as an old state-owned enterprise, it still faces many problems left over by history. But without participating in market competition, Xinsteel has no chance to survive.

In 2003, 3800mm thick plate project became the anchor of Xinsteel's "quality strategy".

Today, the 3800mm thick plate production line of Xinsteel is China's first world advanced production line. The 3800mm wide heavy plate mill has its own equipment level and the 5000mm rolling mill of Baoshan Iron and Steel Co., Ltd. belongs to the first class and international leading level in China.

This is the pride of Xingang people, but there are countless sweat, tears and wisdom behind it.

3800mm heavy plate mill is a technology imported from abroad.

It was originally recommended to take the lead in technology by VAI, because all the heavy plate mill production lines in China are led by foreign companies.

As a result, in addition to project investment, Xinsteel must pay 15% of its investment to the other side, at least 100 million yuan.

Xinsteel is "reluctant to" these 100 million yuan, although they have been determined to "throw away millions of gold" at the time of carrying out 3800mm thick plate technical pformation, but this does not mean that they can "spend money like gold".

Xiong Xiaoxing, the company's general manager, proposed that he should take the lead in technology and take a road of independent innovation.

They pioneered the introduction of technology and equipment "ordering dishes", and assembled all kinds of medium and heavy plate production technology and equipment in the world's advanced level on the production line.

This innovation is not only for the sake of "saving money", but also for the new Steelers to understand that if a large state-owned enterprise relies entirely on the introduction of technology and has no capability of independent innovation, it knows its advanced technology without knowing anything about it. Then, in the future development, it will be controlled by people for a long time and will never be able to get rid of the backward situation.

3800mm heavy plate technology pformation project ended, the total investment of 1 billion 600 million yuan, many experts feel incredible.

The remarkable improvement of the level of technology and equipment has laid a solid material foundation for enlarging the specifications and developing high value-added ship plates of Xinsteel.

After the 3800mm wide and thick plate production line was put into operation, Xinsteel entered the research stage of high-grade special boards, and a large number of high quality and high added value varieties came into being.

At present, the annual production capacity of the steel plate in Xinsteel is nearly 3 million tons, and the high value-added products are nearly 90%.

Among them, ship plate production ranks first in the industry, and pressure and boiler container plate output rank the first in the country.

The quality strategy has made clear the strategic thinking for the development of Xinsteel and promoted the new steel ship plate to be bigger, stronger and better.

It has made the new steel achieve a leap from general steel to high quality steel. The output and market share of the products have been greatly improved, the economic benefits have been improving, and the brand image has improved significantly.