Baosteel Huangshi Branch sales reach all time high in 2010

Friday, 04 Feb 2011

Last year lead by the goal of the new production line achieving four results and with flexible operation and accurate market positioning, Baosteel Co Ltd Huangshi Branch had its production and sales exceeding the annual plan and reaching all time high. Meanwhile, sales rate, contract completion rate and capital return rate all reached 100% with sales revenue and profits covering 106% and 124% of the yearly plan respectively.

Huangshi Branch originally had two production lines: galvanizing and color coating. The placodes required in production relied on imports for a long time. To change the passive situation and for new development opportunities, in the past two years, the branch increased investment in equipment and built two new production lines pickling and cold rolling. Last year, the two production lines achieved four results consecutively. On this basis, Huangshi Branch actively adjusts operating strategy, optimizes variety and market development and makes new breakthroughs in production, sales and research and development.

As for new production lines' upgrading and capacity building, by relying on site improvement and stabilizing quality, Huangshi Branch has a number of collaborative research results, for example, improving product quality by way of raw material quality, technology and equipment capability. Through equipment modification and process optimization, scratched products in cold rolling mill decreased by 80%. By optimizing the rolling process and exploring the optimal operation and running model, cold rolling mill production rose month by month from July to November last year. Huangshi Branch allocates resources rationally, trackes the market closely and makes changes in marketing strategy.

In last October, as the sales of hard coils reached standstill while galvanized products had good market situation, Huangshi Branch increased the sales of galvanized sheet and allocated the processing of hard coils to outsiders which expanded the production of galvanized sheets and achieved maximum benefit. In addition, the Branch also has new marketing perspective for new production lines. The cold rolling mill complex, originally designed only for inside use is now put to sales and now has accumulated a number of steady customers.

In research and development of new products, Huangshi Branch insists on seeking breakthrough by differentiating. According to user special needs, the company developed wide galvanized plates, extra-thick galvanized coated plates and modified silicon polyester color coated plates, accelerated the transformation of large scale production and achieved bulk supply. Based on the original products of the new unit complex, it further develops new technology, explores equipment potential and makes trial in ultra-thin specification which broke the limit of unit design.

Currently, the company has formed four major categories of products: pickled, cold rolled, galvanized and color coated products. The market is further expanded, with the sales of key project and stable customer oriented products reaching more than 50%. At the same time, the internal logistics has become balanced, enterprise system operating cost is reduced and the ability to withstand market risks and the comprehensive competitiveness are enhanced.