At present, the fused magnesium industry is in an oversupply situation, and its price is decreasing year by year.

1. From the current stage, what are the problems in the development process of fused magnesium, coal and steel?

The demand for fused magnesium, coal and steel is weak, showing the current situation of oversupply, and its price is gradually decreasing. This is mainly because China's industrial industry has begun to transform and upgrade, from the extensive speed-type growth to the intensive effectiveness growth, and “ Under the new normal, China attaches great importance to environmental pollution and will be more admired for new energy. Therefore, refractory materials, coal and steel enterprises are facing China's transition period, and the essential problems of their industries are beginning to be exposed.

    2. How to solve these problems in the context of supply-side structural reform?

In 2016, China will focus on strengthening supply-side structural reforms, de-capacity, de-stocking, de-leveraging, cost reduction, and short-boarding of traditional energy industries. While appropriately expanding aggregate demand, we will improve the quality and efficiency of supply systems and accelerate the development of new ones. Development function. In addition, the government will also create conditions for the implementation of market-based exit and accelerate the trial of bankruptcy and liquidation.

    3. How does the capital market play a role in de-capacity?

Enterprises should release appropriate production capacity according to market demand, which will allow the market to digest and resolve the situation of oversupply. In addition, enterprises need to actively adjust their corporate development strategies, rationally utilize the advantages of the Internet, implement cross-bank, cross-regional, and cross-ownership reduction and mergers and reorganizations, while grasping the “One Belt, One Road” strategy, and through the development of international capacity cooperation, the leading production capacity can be very Good "going out".

    4. What are the three major industries that are expected to incite capital in the capital market?

In the next stage, the focus of China's supply-side structural reform will be refractory materials, steel and coal industries. The government will create conditions for the marketization of enterprises to expedite, speed up the trial of bankruptcy liquidation cases, and implement financial support, disposal of non-performing assets, and unemployed people. Re-employment and living security and special awards and other measures, these two industries are very large, under the advancement of the Internet capital market, will incite a lot of money.