Currently, with the slowdown in global economic growth, the escalation of international trade protectionism, and the persistent sluggishness of market demand, the steel industry is facing unprecedented challenges. On April 18th, the 2025 14th China Steel Logistics Summit Forum held in Shanghai focused on hot-button issues such as the U.S. wanton imposition of tariffs, the development of digital supply chains, and industrial restructuring of the steel industry in the new cycle, launching in-depth discussions. Participants called on industry enterprises to both firm up their confidence and take the initiative to seek changes under complex circumstances, seize opportunities, and jointly promote the high-quality development of the steel industry.
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Collectively Braving the "Cold Winter"
Guan Qingyou, President of Rushi Financial Research Institute and Vice President of the China Private Economy Research Association, believes that although the U.S. wanton imposition of tariffs will impact the global economy in the short term, it will also force all parties to make short-term responses and medium-to-long-term plans, seek new opportunities amid challenges, drive enterprises to increase R&D investment, enhance development resilience, and improve global competitiveness.
As for the Chinese market, the resilience of economic development can be seen from various data. Joint survey data from the China Federation of Logistics and Purchasing (CFLP) and the National Bureau of Statistics show that China's economy has shown a remarkable trend of improving month by month this year. The manufacturing PMI rose from 49.1% in January-March to 50.5%, and the new orders index reached 51.8% in March.
Cai Jin, President of CFLP, stated that the improvement in the quality of China's economic growth is mainly reflected in four aspects: First, the demand foundation has been consolidated. The consumption, investment, and export data for the first three months were eye-catching, rebounding by 1.1%, 1%, and 6.1% respectively compared to the whole of last year; Second, the endogenous driving force has been strengthened. Driven by policies and superimposed with market demand, the operating conditions of small and medium-sized enterprises have shown a recovery trend; Third, traditional industries have warmed up, with positive data in the construction and real estate markets; Fourth, emerging industries are thriving, with strong growth in high-end manufacturing and digital service industries. These have all built a buffer zone for China to cope with external uncertainties.
Regarding the development challenges faced by the steel industry, Chen Yuqian, Deputy Secretary-General of the China Iron and Steel Association, believes that currently, the operation of China's steel industry presents four characteristics: a decline in the total apparent consumption of steel, a deterioration of the direct export trade environment, a significant impact on indirect exports, and an obvious shift in steel use from the construction industry to the manufacturing industry. The industry's development has entered a stage of "decremental development and stock optimization" from "incremental development." He believes that the high-pressure state in the steel supply side will continue, and both domestic steel demand and the export side will be impacted. Steel enterprises need to strengthen self-discipline, avoid "involutionary" competition, and work together to improve industry efficiency. Xu Jiti, President of the Shanghai Federation of Industry and Commerce Steel Trade Chamber of Commerce, said that under the impact of various changes, the transformation of the steel trade and circulation industry has become a general trend, and he called on industry enterprises to actively explore innovative development paths and jointly brave the "cold winter."
Breaking Through with Innovation
As a strongly cyclical industry, Pan Fujie, Director of the Steel Logistics Special Committee of CFLP and CEO of Zhuo Steel Chain, suggested that industry enterprises, in the face of multiple market uncertainties, actively open up emerging markets such as ASEAN, the Middle East, and Africa beyond traditional developed country markets; promote industrial chain collaboration and strengthen cooperation among production enterprises, circulation enterprises, and service providers; advance green transformation and sustainable development, build a "mine-steel mill-user" zero-carbon industrial chain, and enhance ecological integration capabilities; achieve cost reduction and efficiency improvement through the dual optimization of enterprise management and operations.
Deng Hangzhou, Deputy General Manager of Zhoukou Iron and Steel Company of Henan Iron and Steel Group, believes that the steel industry can seize market opportunities by strengthening technological R&D, deepening cooperation with logistics enterprises, actively expanding international markets, and increasing investment in green and low-carbon technologies. Liu Yong, Chief Manager of Shanxi Jingang Intelligent Manufacturing Technology Industry Co., Ltd., suggested that industry enterprises pay attention to market opportunities in new energy green steel material fields such as automobiles, photovoltaics, and construction.
Zuo Geng, Chief Expert of the Economic Research Institute of China Minmetals Group, reminded that under the complex international economic and trade situation, China's steel industry should pay attention to the safety of raw material supply. The advantages of the full industrial chain superimposed with the application of new-quality productive forces are the advantages for China's steel industry chain to sail abroad. It is recommended that enterprises pay attention to market opportunities in Southeast Asia, the Middle East, and Africa.
"Wisely" Linking the Globe
Currently, digital transformation and green and low-carbon development have become the main themes of the steel logistics industry. Chen Leiming, Executive President and Secretary-General of the China Metal Materials Circulation Association, said that as a fundamental industry of the national economy, the digital transformation of the steel supply chain is not only an inevitable choice for technological upgrading but also a strategic measure to cope with challenges such as overcapacity, green transformation, and global competition. The digital transformation of the supply chain will drive the steel industry to evolve from the old development paradigm of high energy consumption, heavy assets, and cyclicality to a new development paradigm of efficiency, greenness, and intelligence. Through reconstructing production models, optimizing resource allocation, and improving operational efficiency, it will achieve intelligent, green, and global development across the entire chain. The construction of a digital steel supply chain needs to take technology as the foundation, data as the core, collaboration as the key, and greenness as the soul. In addition to focusing on technology integration and intelligent upgrading, green and low-carbon and circular economy, intelligent logistics and flexible delivery, data governance and basic support, and policy-driven and industrial collaboration, it also needs to pay attention to ecological collaboration and global layout, including platform-based resource integration, global supply chain network construction, and cross-industry collaborative innovation. At the same time, the integration of 5G, satellite communication, and edge computing technologies has made real-time collaboration in transnational supply chains possible. This "global brain network" will break through the geographical boundaries limiting supply chains, form a truly global digital production capacity pool, and build a broader global steel digital supply chain system.
