Development history of Wenzhou stainless steel pipe industry

Wenzhou is one of the production bases of stainless steel seamless pipe in China. It originated in the early 1980s. After more than 20 years of development and exploration, Wenzhou has been well-known and influential in China’s domestic market.

The historical stage of stainless steel development in Wenzhou

  1. The first stage: small workshops.
  2. The second stage: large scale production stage.
  3. The third stage: Group production stage.

In the first and second stages, stainless steel production has been in short supply. In Wenzhou’s words, “Yongzhong is full of gold, and fools can make a lot of money.”. However, with the rise of Qingshan and the coming of group production, the production pattern of stainless steel industry began to change. The era of desperate production expansion and blind investment will soon become the past. First of all, Qingshan has 25 broaching machines in Lishui, with an annual output of 20000 tons. After that, all the enterprises with extra capital are trying to expand. At the end of 2005, superstar launched another 30 broaching machines in Dafeng, Jiangsu Province, with an annual production capacity of 30000 tons. Other small and medium-sized enterprises are expanding in Lishui, and the number once reached 46. In Jinhua, Jiangsu, Shanghai, Fujian Fuding, Anhui Jixi and other places, there are no less than 30 of them. This investment will certainly bring a large production capacity, the direct effect is that it will lead to overproduction, resulting in oversupply, which directly leads to the end of the high profit stage of stainless steel. So a fierce competition will come. And to survive and develop in such a situation is the competition of strength, the competition of information, and the competition of information is the competition of people. The strength of the capital also needs people to operate. The final victory depends on the input of the company’s personnel – that is, a sales team that is capable and has no loss of scale (6-9 people). This team should have a strong fighting capacity and a group of people who can bear hardships, stand hard work and have no loss of experience. They can bear hardships and stand hard work, so that they can accept various challenges and withstand various pressures; experience can make them bring breakthroughs and benefits to the company in the fastest time and speed. So as to achieve the effective combination of software and hardware.

The current situation of stainless steel development in Wenzhou

Wenzhou stainless steel seamless pipe industry mainly produces stainless steel seamless pipes and stainless steel bars, with more than 400 varieties, specifications and models. In 2001, the sales volume of stainless steel seamless pipe reached 1.715 billion yuan, and the output reached 106000 tons. The output of stainless steel rod is 211 thousand tons, and the tax paid to the state is more than 100 million yuan. The export volume of stainless steel seamless pipe is also increasing year by year, which is 5000t in 2001. More than 10 enterprises have obtained the right of self import and export. Stainless steel seamless pipes are exported to Southeast Asia and dozens of countries and regions in the European Union, and are highly appreciated by foreign businesses and users.
Wenzhou is the largest stainless steel pipe production and sales base in China at present. In 2007, the total industrial output value of the stainless steel industry in Wenzhou exceeded 7.5 billion, with a national market share of more than 80%. Wenzhou’s stainless steel pipe manufacturing enterprises are mainly concentrated in Longwan. According to statistics, as of 2007, there are 270 stainless steel pipe manufacturing enterprises in Longwan District, including 10 with an annual output value of more than 100 million yuan, including Qingshan. The annual stainless steel seamless pipe export reaches 25000 tons, an increase of 10% over 2006, with a foreign exchange earning of 160 million dollars.
Wenzhou stainless steel pipe industry is one of the three major stainless steel industrial bases in Zhejiang Province, which stands at the same time as Ningbo reformer and Huzhou bar.

Problems in the development of Wenzhou stainless steel industry

In addition to environmental factors, another important factor limiting the development of Wenzhou stainless steel pipe industry is land. Wenzhou has more people and less land. This problem is particularly prominent in Longwan. In recent years, with the continuous development of various industries, a lot of land has been occupied, and gradually land resources cannot make ends meet, which can no longer meet the needs of the continuous expansion of the scale of stainless steel industry. Therefore, since 2005, Wenzhou’s stainless steel industry has been expanding outward, respectively to the adjacent areas of Lishui Songyang, Anhui Jixi, etc. At present, 38 Wenzhou stainless steel enterprises have settled in Songyang County, and 22 stainless steel enterprises have settled in Jixi, with a total investment of 430 million. The outward expansion not only solved the land problem, but also contributed to the environmental protection of Wenzhou. It is reported that the newly-built stainless steel enterprises outside are equipped with environmental protection facilities such as sewage treatment plants.

Main technological level and status of stainless steel pipe in Wenzhou

The processing equipment and process route of seamless pipe are uneven.
High end: smelting process of alloy and molten iron, with means of molten iron pretreatment, three-step smelting, continuous casting, mold casting, forging and rolling
General: Scrap return material 60% – 70%, electric furnace, VOD, AOD, continuous casting, mold casting, forging, rolling
Low grade: scrap steel returned to medium frequency furnace or electric furnace, with AOD treatment, continuous casting or die casting, rolling and forging
Violation: medium frequency furnace steel, 100% scrap, mold casting

Sales of stainless steel pipes in Wenzhou

Wenzhou stainless steel seamless pipe production accounts for 60-80% of the national total, but unfortunately it has not formed a large stainless steel market, but the stainless steel production enterprises in Lishui, Zhejiang and Fuding, Fujian still regard Wenzhou as the distribution center for sales to the whole country. Wuxi stainless steel market is the largest stainless steel distribution center in China. The market share of Wenzhou stainless steel pipes has reached more than 60-70%. Therefore, Wenzhou stainless steel brands need to be further expanded and strengthened.

How to get to Wenzhou?

Wenzhou is the third city of Zhejiang Province and one of the economic power houses of the region. Famed for its businessmen and women of the night (and the Wenzhou model of business), Wenzhou is frequently used by Western media as a barometer of the Chinese export economy; among other things, Wenzhou manufactures around 90% of the world’s spectacles and massive quantities of shoes. Wenzhou is not on many China tour itineraries and despite being a Chinese cultural hotspot, it is not the most foreigner friendly of cities (compared with Hangzhou and Ningbo, for example). However, there are plenty of things to do and see should you find yourself with time on your hands in Wenzhou. The city has a resident foreigner community that is below average for the city’s size (100-200), although foreign businessmen often pass through.
Wenzhou is near the East China Sea (called East Ocean in Chinese) in the south-eastern part of China. It is a prosperous city with a rapid economic boom because Wenzhou was one of the first port cities to be opened to foreign trade after Deng Xiaoping took over China in the 1970s. Wenzhou is the biggest and most prosperous city in the south of Zhejiang Province, and considers the importance of education highly. Hence, many famous mathematicians have come from this city.

20200322221932 23730 - Development history of Wenzhou stainless steel pipe industry
Wenzhou is a city with frequent rains, and the average annual temperature is around 17 °C.

Get in

By plane

  • 1 Wenzhou Longwan International Airport (WNZ IATA) (Wenzhou Airport is east of the city). It receives flights from around China, and because it also supports flights to and from Hong Kong, Korea, and Taiwan, it is considered international. 

You can get from the airport to the city center by taxi or bus. Taxis are the most expensive and you should bargain hard; if they do not like the price you are offering they laugh at you and start shouting Bus!. If a taxi driver offers you a ride under ¥100 it can be regarded as a good deal. Taking the bus is now much easier due to a ticket desk in the new terminal opposite the exit gate. The bus costs ¥12 and drives through New City (新城; Xīnchéng), Xialüpu (下吕浦; Xiàlǚpǔ) and finally stops at a depot on Nanpu Road (南浦路; Nánpǔlù).

By train

Wenzhou railway Station (温州站; Wēnzhōuzhàn) serves most cities throughout China, although because of Wenzhou’s mountains, train journeys are sometimes much longer than their bus counterparts. The train station is at the major junction of Wenzhou Avenue (温州大道; Wēnzhōudàdào) where it meets Chezhan Avenue (车站大道; Chēzhàndàdào).

Wenzhou South railway station (温州南站; Wēnzhōunánzhàn)  is served by the high-speed trains that come from Shanghai, bound for Fuzhou and Xiamen. Some of the stations along the way are Hangzhou, Ningbo and Taizhou. This station is also served by trains via Jinhua-Wenzhou High-speed Railway.

By bus

Wenzhou’s bus stations serve a variety of locations around the country. Arrivals from Shanghai and Fuzhou will find themselves at New South Station (新南站; Xīnnánzhàn) which is near the train station on Wenzhou Avenue (温州大道; Wēnzhōudàdào), arrivals from Hangzhou and Ningbo will find themselves at New City Station (新城站; Xīnchéngzhàn) which is in New City, and arrivals from places as varied as Yiwu and Qingdao will find themselves at Shuangyu Bus Station (双屿汽车站; Shuāngyǔqìchēzhàn) which is on the west side of the city near the suburb of Huanglong.

Get around

By metro

220px WZMTR S1 Train with CRH380B - Development history of Wenzhou stainless steel pipe industry

Wenzhou Metro Line S1 train

Although there is only one metro line, the Wenzhou Metro (WZ-MTR) is its useful to travelers. Line S1 connects the two train stations and the city centre, and further expansion is underway to extend it to the airport.

By bus

220px Dayu Bay   YuAo Cun   P1210499 - Development history of Wenzhou stainless steel pipe industry

Rural bus routes serve fishing villages along the scenic Dayu Bay (Cangnan County)

Buses cost ¥1.5-2.5 within the city and can be very useful once you figure what number goes where. Useful buses include the 81 that goes between the old train station and the new south train station (¥2). The price is listed on the outside of the bus and on the bus stop sign. The bus stop sign also lists the stops on one side and shows a map on the other. Strangely, you will not find this in Beijing or Shanghai.

By taxi

Taxis are ¥11 for the first 4 km and ¥1 for each 500 m thereafter (after 11:30PM prices rise to ¥12+2 (gas charge) for the first 4 km and ¥1 for each 500 m thereafter). If you are outside the centre of the city, or in the centre trying to get elsewhere, you will not be able to catch a taxi between 4:30PM and 6PM. This is because of the driver shift change. If you are taking a longer-distance ride or travelling during rush hour, expect to “share” your taxi ride with others going to same section of the city (and pay more about ¥15 plus ¥2 tax for longer rides).

Watch out for prices charged by taxi drivers “off the meter” and negotiate price if it is raining, or during rush hour, prior to your ride. Do not allow them to charge you over ¥12!

By ferry

Although one ferry serves the tourist island of Jiangxin, there are other ferries that serve destinations up and down the Ouhai River ( 瓯海; ōuhǎi) such as the suburb of Oubei (瓯北; ōuběi)

Go next

  • Linhai — in the Taizhou prefecture, north of Wenzhou, Linhai has the Southern Great Wall of China. There is also an East Lake (东湖), and long old streets. Really nice place. Buses leave the City Bus Station (新城长途车站) every 30 minutes or so, take 1 hr 46 min and cost ¥66.
220px Dayu Bay   YuAo Cun   P1210485 - Development history of Wenzhou stainless steel pipe industry

Near Yu’ao Village on the coast of Dayu Bay, in Cangnan County

  • Cangnan County. Administratively part of Wenzhou Prefecture, it is Fujian’s southernmost county. It includes an early-Ming walled city (Pucheng) with a well-restored city wall, and miles of rugged sea coast with scenic fishing villages.
  • Hangzhou — buses take about 4-4.5 hours, leave from New City Bus Station, and cost ¥150. They leave really frequently first thing in the morning, and then every 30 minutes or so afterward.
  • Shanghai — can get there by train, bus or plane. Train costs ¥90 for a seat, ¥175 for a hard-sleeper and takes about 10 hours. In 2009, the CRH Train service has officially entered Wenzhou at their newly opened South Railway Station (温州南站). The tickets are ¥180-220 and it takes slightly over 4 hours. The bus costs ¥200 and takes about 6 hours. The bus route between Wenzhou and Shanghai will take you across the longest sea bridge in the world. The plane takes no time and can be as little as ¥200 if you leave very early.

Source: China Seamless Steel Pipe Manufacturer – Yaang Pipe Industry Co., Limited (www.steeljrv.com)

(Yaang Pipe Industry is a leading manufacturer and supplier of nickel alloy and stainless steel products, including Super Duplex Stainless Steel Flanges, Stainless Steel Flanges, Stainless Steel Pipe Fittings, Stainless Steel Pipe. Yaang products are widely used in Shipbuilding, Nuclear power, Marine engineering, Petroleum, Chemical, Mining, Sewage treatment, Natural gas and Pressure vessels and other industries.)

If you want to have more information about the article or you want to share your opinion with us, contact us at sales@steeljrv.com

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development history of wenzhou stainless steel pipe industry - Development history of Wenzhou stainless steel pipe industry
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Development history of Wenzhou stainless steel pipe industry
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Wenzhou is one of the production bases of stainless steel seamless pipe in China. It originated in the early 1980s. After more than 20 years of development and exploration, Wenzhou has been well-known and influential in China's domestic market.
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