Steel, a fundamental industrial material, is widely used in industries such as construction, machinery, automobiles, and power generation. When procuring steel, the choice of supplier directly impacts product quality, cost control, and delivery efficiency. The following are key points to consider when selecting a steel supplier:

1. Product Quality and Certification

• Material Compliance: Ensure that steel products (such as wire rod, plate, and wire rod) comply with national standards (such as GB/T 700-2006) or international standards (such as ASTM and JIS).

• Test Reports: Suppliers are required to provide third-party test reports on mechanical properties (tensile strength, elongation, etc.) and chemical composition.

• Production Qualifications: Prioritize large steel mills or reputable distributors certified to the ISO 9001 quality management system.

2. Supply Capacity and Stability

• Capacity Matching: Suppliers must have stable, large-scale production capabilities to avoid delivery delays due to insufficient production capacity.

• Inventory Management: Suppliers should maintain a reasonable inventory of commonly used specifications (such as HRB400 rebar and SPCC cold-rolled steel) to ensure rapid response.

3. Pricing and Cost Control

• Transparent Pricing: Clarify pricing methods (e.g., tax-inclusive price, ex-factory price) and be wary of low-price traps (possibly involving non-standard steel).

• Long-Term Agreements: For bulk purchases, floating price agreements can be signed to mitigate the risk of price fluctuations in raw materials (such as iron ore).

4. Logistics and After-Sales Service

• Transportation Network: Prioritize suppliers with dedicated railway lines or direct port shipping capabilities to reduce transportation losses (e.g., preventing deformation during long-distance transport of steel sheets).

• After-Sales Guarantee: Define clear procedures for handling quality disputes, such as return and exchange timelines and claim mechanisms.

China's Global Position and Advantages in the Steel Industry

China is the world's largest steel producer and consumer, accounting for over 50% of global crude steel output in 2024. Core advantages include:

• Full Industry Chain Coverage: Complete independent production capabilities from steel billets to high-end steel sheets (e.g., automotive galvanized sheet);

• Leading Cost Efficiency: Leveraging large-scale production and technological upgrades (e.g., mini-process steelmaking), the company offers superior price-performance ratios to most international markets;

• Export Competitiveness: Infrastructure demand in countries along the Belt and Road Initiative continues to drive steel exports (e.g., wire rod and H-beam).