Core reminder: In 2017, the market trend of my country's non-oriented electrical steel showed five ups, four downs and three flats. The overall trend of the oriented electrical steel market showed nine ups and three flats, which turned losses and went up as a whole. In 2018, the downstream of the new era.

　　In 2017, the market trend of my country's non-oriented electrical steel showed "five ups, four downs and three flats", and the overall trend of the oriented electrical steel market showed "nine ups and three flats" to turn losses and rise. In 2018, the new demand from downstream industries in the new era will lead the development of the electrical steel industry. It is expected that while the electrical steel market returns to a reasonable price range, prices will fluctuate while stabilizing and continue to rise.

　　From the perspective of the global economic situation, the global economy will continue to recover in 2018, which will bring benefits to China’s exports. In the World Economic Outlook published in October 2017, the International Monetary Fund raised the global economic growth in 2018 to 3.7%. Emerging markets and developing economies will continue to be the main driving force for global economic growth. India and ASEAN countries The economies of other Asian countries and regions will maintain rapid growth; stable commodity prices will enable the economies of Russia, Brazil, South Africa, Nigeria and other major energy exporting countries to continue to rebound. OPEC and non-OPEC oil-producing countries will extend their production reduction agreements. Boosting the rise of oil prices, the post-war reconstruction of Iraq, Syria and other countries or the follow-up of industries such as infrastructure, power grid, real estate, and transportation construction will have more demand for electrical steel. At the same time, the renminbi officially became an international currency in October 2017, and the development of 66 countries and regions involved in the “Belt and Road” initiative is expected to be positive for China’s exports.

　　From the perspective of national industrial policy, the 19th National Congress of the Communist Party of China pointed out the way forward for my country's economic construction, and the electrical steel industry shifted from rapid development to high-quality development. In December 2017, the National Development and Reform Commission issued the "Three-Year Action Plan to Enhance the Core Competitiveness of Manufacturing Industry (2018~2020)", which clearly pointed out that 10 new steel materials, including high-performance silicon steel, will be developed in the next three years. Focus. The specific performance is: the thickness of non-oriented electrical steel will develop from 0.50~0.35mm to 0.30~0.20mm; the oriented electrical steel will develop towards the direction of oriented electrical steel for low-noise transformers. The material requirements are: thickness ≤0.30mm, P17/50 ≤0.90W/kg, magnetic induction intensity B800≥1.90 Tesla, stacking factor ≥0.96; motor products are developing towards lightweight, small size, frequency conversion, high efficiency, high speed, energy saving, environmental protection, and intelligence; transformer products are developing towards small size, Three-dimensional rolled iron core, low loss, low noise, energy saving and environmental protection, and intelligent development; new industries such as new energy electric vehicles, robots, unmanned aerial vehicles and aircraft will expand the potential demand for electrical steel.

　　From the perspective of apparent consumption, the total consumption of electrical steel will continue to rise in the future. The apparent consumption of electrical steel in my country in 2017 was 10.0711 million tons. Among them, the apparent consumption of non-oriented electrical steel was 9,108,800 tons, a year-on-year increase of 18.76%; the apparent consumption of oriented electrical steel was 962,100 tons, a year-on-year decrease of 8.19%. It can be clearly seen from the above data that the apparent consumption of non-oriented electrical steel is increasing, and the apparent consumption of oriented electrical steel is decreasing. Data show that the output of major downstream industries increased in 2017. For example, the total installed capacity of my country's power generation equipment reached 1.75 billion kilowatts, and the estimated additional installed capacity was about 125 million kilowatts. The total output of power generation equipment of the three power groups reached 77,809,200 kilowatts, of which Dongfang Electric 30,424,700 kilowatts, Harbin Electric 14,173,500 kilowatts, and Shanghai Electric 3321. my country's AC motors have completed production of 28,200 kilowatts, an increase of 10.04% year-on-year; my country's automobiles have completed production and sales of 29.015 million and 28.879 million, respectively, ranking first in the world for 9 consecutive years.

　　From the perspective of the development of the power industry, the electrical steel market has a bright future. First, the construction of the distribution network continues to grow. The country will invest 1.5 trillion yuan in the construction of the power grid in the next five years to provide a stable market for distribution transformers. The second is a new round of power grid transformation, energy efficiency improvement of distribution transformers, and further development of infrastructure, which will bring about millions of tons of iron core material demand. Third, wind power has become China’s third largest power source after hydropower and coal power. The "Thirteenth Five-Year Plan for Wind Power Development" proposes that the grid-connected installed capacity of wind power will reach 210 million kilowatts by the end of 2020, and the annual wind power generation will reach 420 billion. Kilowatt-hours account for 6% of the country’s total power generation. During the "Thirteenth Five-Year Plan" period, there is a broad market for supporting transformers for wind power construction. Fourth, the "13th Five-Year Plan for Solar Energy Development" proposes that by 2020, the installed capacity of solar power will reach 110 million kilowatts and the power generation will reach 150 billion kilowatt-hours. Generally, solar power plants are equipped with one 1 kVA transformer for every two 500-kilowatt generator sets. The demand for transformers is relatively high and there is more room for growth. Fifth, while the "Thirteenth Five-Year Plan for Electric Power Development" proposes to promote coastal nuclear power construction, and the installed nuclear power capacity will reach 58 million kilowatts by 2020, nuclear power cooperation projects between my country and the United Kingdom, Pakistan, Romania and other countries have been launched one after another. A total of 17 countries along the Belt and Road Initiative plan to develop nuclear power, with the planned number of generating units reaching 120. Sixth, according to the "Medium and Long-term Railway Network Planning", by 2020, the scale of my country's railway network will reach 150,000 kilometers, including 30,000 kilometers of high-speed railways. The demand for traction transformers, track power supply transformers and other signal equipment power transformers will increase significantly. Seventh, the "Electric Vehicle Charging Infrastructure Development Guide 2015~2020" proposes to build in 2020 a charging infrastructure system with "moderately advanced, connected with piles, smart and efficient", including 12,000 charging stations and 4.8 million charging piles. , To meet the charging demand of 5 million electric vehicles. It is expected that the next few years will be the peak period for the construction of charging piles, so car charging stations need to be equipped with special transformer facilities, which will strongly stimulate the special transformer market.

　　The blooming market demand provides good development opportunities for the electrical steel industry. In the later period, the consumption of electrical steel will increase rapidly, and the production capacity of enterprises will continue to rise. Enterprise opportunities and competition coexist. To this end, the author recommends that the electrical steel industry do the following work.

　　The first is to implement the national energy conservation and environmental protection policy, accelerate the elimination of low-end backward production capacity and non-standard products, actively reflect the demands to the national authorities through industry associations (societies), and carry out cracking down on or prohibiting the use of black products that do not meet national standards and their own high energy consumption. The activity of making motor cores with carbon steel. At the same time, it is necessary to control the production capacity of electrical steel and new electrical steel projects, especially outdated technological projects or repetitive projects that have been saturated, and speed up the elimination of narrow strip rolling mills and poor product production lines.

　　The second is to adapt to the requirements of the new era from high-speed development to high-quality development, study and revise national standards in advance, eliminate electrical steel products that are not suitable for the market, and accelerate the introduction and implementation of electrical steel green product evaluation standards. Research on new processes and technologies of electrical steel, continuously optimize process technology, research and develop new products, and focus on the development of oriented electrical steel for low-noise transformers, ultra-low iron loss oriented electrical steel, and ultra-high magnetic induction oriented electrical steel preparation technology. Focus on the development of thin-gauge non-oriented electrical steel, non-oriented electrical steel for high-end and high-efficiency motors, non-oriented electrical steel for medium-frequency high-efficiency motors, and high-strength non-oriented electrical steel. Steel for energy storage power generation, steel for high-efficiency and energy-saving motors, and transportation drive motors, such as meeting the needs of industries such as urban rail transit, high-speed rail, subway, new energy electric vehicle motors, drones, and high-end home appliances.

　　The third is to accelerate the improvement of the overall quality of electrical steel for private enterprises, solve the problem of low-end production capacity, standardize corporate market behavior, establish a stable, healthy, and orderly competitive electrical steel market, and better serve downstream users.