" The cement industry in Hubei is not optimistic now." A few days ago, a delegation from China Cement Network visited the cement industry in Hubei Province, and the head of a local cement enterprise said so.
The person in charge said that on the one hand, the number of cement enterprises in Hubei region is large, the coordination is difficult, and located in the middle and lower reaches of the Yangtze River, facing the situation of joint "attack" of upstream and downstream foreign cement; On the other hand, the concept of enterprises in the region is inconsistent, and there is a big difference between production according to the approved capacity and overproduction. These are the key factors that the cement industry in Hubei is not optimistic, and Wuhan, which has a high proportion of real estate demand, is expected to see a higher decline in demand this year than the national demand. In the view of the
person in charge, the overcapacity of the cement industry has become more and more serious in recent years, and the effective and competitive capacity has been increasing , even though the price of cement has risen to a high level. However, when demand continues to decline, it is not necessarily a positive signal for capacity removal.
How to reduce production capacity? The person in charge put forward his views:
First, the government has introduced corresponding policies to shut down and withdraw production capacity that does not conform to the provisions of industrial policies, and to reward and compensate enterprises that take the initiative to shut down in advance.
Second, through market means to reduce production capacity , in areas with high concentration of cement industry, enterprises can achieve steady growth through collaborative cooperation and self-discipline strategy; In the market with low concentration, we need to adopt the price competition strategy boldly, fight on the fight, but also thoroughly hurt , forcing the production capacity with weak competitiveness to be completely eliminated.
