March 30 evening, a number of shares of Anshan Iron and Steel, Valin Iron & Steel, Maanshan Iron & Steel and other steel-intensive enterprises publish annual reports, most dismal performance.

Steel prices continued to fall causing huge loss of the main industry, coupled with the rapid devaluation of the yuan, a substantial increase in foreign exchange losses in the past year, the domestic steel industry as a whole suffered a loss. Steel prices have so described 2015 industry conditions: the most serious challenge, competition is fierce, the survival of the most difficult “ice age.”

The report shows that in 2015, Angang Steel Company, Valin Iron & Steel, Sha Steel shares, three steel Min light, Maanshan five steel prices by surplus to deficit. Among them, the most Magang loss, the loss amounted to up to 4.804 billion yuan, 221 million yuan profit company last year. Angang Steel Company, Valin Iron & Steel, Sha Steel shares, three steel Min light, respectively, loss of 4.593 billion yuan, 2.959 billion yuan, 80.6218 million yuan and 929 million yuan. In 2014, the aforementioned corporate profits were 928 million yuan, 74,634,300 yuan, 35,216,400 yuan and 31.9527 million yuan.

Steel prices continued to decline in steel prices is the direct cause of the decline of production and operational effectiveness. According to Chinese Industry Association data show that China Steel Association CSPI steel price index hit a low of 20 years, representing a decrease of 27.26%. By 2015, long steel prices fell more than 800 yuan / ton, plate and strip and pipe prices more than 1000 yuan / ton. Although commodity prices of raw materials also fell, but still can not make up steel prices decline. Industry profit margins continue to decline, gross profit margin was 2.38% Valin Iron & Steel, Sha Steel shares gross margin was 4.5%.