In 2020, China’s share in world stainless steel production is likely to reach 60pc from the present 50pc, according to a China Metallurgical News report citing Gao Jianbing, Chairman of the Stainless Steel Branch of the China Special Steel Enterprises Association. Jianbing believes, a steady growth trend in China, along with production cuts in most countries, could help the Chinese stainless steel market thrive.
The association chairman also stated that the industry’s success in capturing the global market is on the back of the development of high temperature and high pressure, corrosion resistance, ultra-low temperature resistance, and easy-to-recycle stainless steel materials that aid cost performance in railways, automobiles, shipbuilding, electric power, aerospace, and other fields.
The year 2021, however, could prove to be challenging for the Chinese stainless steel industry, according to Jianbing. With the domestic demand hit in most countries, governments have been trying to safeguard local industries with tariffs and import restrictions. These could have a bearing on China’s industry and exports as well. He also states that the country should focus on ensuring raw material security, given the dependence on imports. China’s dependence on chrome ore is close to 100pc, with the global supply chain at risk. Jianbing, therefore appeals for establishing new production bases internationally, especially in areas rich in stainless steel raw materials resources.