This year is a challenging year for the steel industry. In the face of the severe economic situation, all staff of the petrochemical department worked together to seize the opportunity to run customers, grab orders and raise profits.

I. Running for customers

In the face of the increasingly fierce competition in the petrochemical industry, the company leaders and salesmen actively visited the petrochemical enterprises to understand the needs of each enterprise, actively promote the work of the supply, while strengthening the contact with old customers, and strive to develop new customers, while closely grasp the trends of various projects of PetroChina, Sinopec and CNOOC, such as the Guangdong Huilai 20 million tons/year oil refining project, which is a joint venture between PetroChina and Venezuela Petroleum Company, and the joint venture between PetroChina and Venezuela Petroleum Company. The project includes the 20 million tonnes/year oil refinery project in Huilai, Guangdong, the 20 million tonnes/year oil refinery project in Taizhou, Zhejiang, the 1.2 million tonnes/year ethylene project in Taizhou, China, the 15 million tonnes/year oil refinery project in Zhanjiang, Guangdong, the joint venture between Sinopec and Kuwait International Petroleum Corporation, etc. Considering that most of the current projects adopt the mode of EPC turnkey contracting by engineering companies, the marketing focus of the department also shifted to the four major domestic engineering companies (Sinopec Engineering Construction Company, Sinopec Group Luoyang Petrochemical Engineering Company, Sinopec Shanghai Engineering Company Limited and Sinopec Nanjing Engineering Company Limited) accordingly.

Second, grab orders

As the domestic steel market tends to be saturated, and affected by the international and domestic situation, many petroleum and petrochemical projects have just been approved and have not yet entered the substantive procurement stage, in the case of "too much meat, too little", the department, driven by the leadership of the company, change the concept, take the initiative and try every possible way to order. Among them, the order quantity of long-term cooperative enterprises such as Maoming Petrochemical, Liaoning Petrochemical, Yangzi Petrochemical and Jinling Petrochemical has increased significantly compared with previous years.

III. Increase in profit

By the end of September 2012, the department completed 64,000 tonnes of invoiced sales. Although the overall invoicing volume was not as high as in previous years, due to the annual framework bidding pricing mechanism adopted by PetroChina and Sinopec enterprises, and the existence of two different prices for "producers" and "stockists", with the situation of pipe billet falling all the way this year, the price advantage of PetroChina and Sinopec The price advantage of CNPC and Sinopec has also been revealed, and the department, under the premise of guaranteeing the delivery date of orders, tries its best to arrange orders after making contracts with oil and petrochemicals first, so as to reduce its own procurement cost under the premise of determining the price, thus forming a larger profit. In addition, when signing the contract, we try to implement the stockist price, which is about 9 points higher than the manufacturer's price, thus invariably increasing the sales profit.

With the commencement of various petroleum and petrochemical projects, we believe that our sales will pick up from 2013 to 2014, and all members of the petrochemical department will be full of confidence to meet a brighter future for CK Steel Pipe under the correct leadership of the company! (Yangtze River Steel Pipe Petrochemical Department/ Zhou Fengting)