Ma Steel Shares: Accelerate domestic mineral development and non-steel industry expansion

Representatives of the National People's Congress, MA Steel shares (600808.　　SH) Chairman Jianguo yesterday during the national two sessions of the "First financial daily" reporter exclusive interview revealed that the steel industry will continue to profit, MA Steel will speed up the development of domestic mineral resources and the expansion of the non-steel industry.　　Jianguo told our correspondent, the current restrictions on the domestic steel enterprise profit level is the biggest problem is the raw materials such as ore, which makes the steel industry will be in a long period of meager profit, from the entire steel industry, 2011 years or even the next 35 years, the situation is still grim. At present, MA Steel has about 75% of the ore needs to rely on imports, mining prices increase the cost of enterprises, therefore, Jianguo revealed that the company hopes to speed up the development of its own reserves, hoping to increase the proportion of its own mineral resources to 30% as soon as possible, at the same time, the company is also concerned　　But many projects are already overpriced.　　For the rising price of iron ore, Jianguo suggested that the state authorities should coordinate this, for example, to reduce the relevant tax on domestic mine development, in order to accelerate the development of domestic mines, to coordinate domestic enterprises overseas mining to avoid vicious competition, and to rectify the domestic ore trade market and implement the agency fee model.　　Because of the current low profit margin of steel industry, MA Steel in the existing iron and steel business, to increase high-speed steel and other high value-added products, but also hope to expand the steel deep-processing, equipment manufacturing and other non-steel industry expansion.　　Jianguo to this reporter revealed that the company hopes that the "Twelve-Five" period of the steel industry's income ratio from the current 10% to 15%. It is noteworthy that, as early as 2006, Baosteel had forged a strategic alliance with MA Steel, signed the Strategic Alliance Framework Agreement, at that time, the outside world that Baosteel will be further restructuring with MA steel. In this respect, Jianguo to reporters that the restructuring of two companies is now not possible, because Anhui Province wants to have its own large steel enterprises.