The 14th Five Year Plan period is a crucial period for China to embark on a new journey of comprehensively building a socialist modernized country and advance towards the second centenary goal. It is also a crucial period for the steel industry to promote high-quality development, deepen supply side structural reform, and strive to achieve carbon peak ahead of schedule. Steel pipes, as the "blood vessels" of modern industry, are widely used in fields such as petroleum (natural gas), chemical industry, power plants (nuclear power), machinery, automobiles, ships, etc. At the same time, as a multifunctional economic structural material, they are also widely used in construction, bridges, power towers, mechanical manufacturing, and other fields. They are key steel materials required for national key engineering construction and major equipment manufacturing, and their role in national economic development and industrial upgrading is irreplaceable. During the 13th Five Year Plan period, China's steel pipe industry has deeply promoted supply side structural reform, continuously enriched steel pipe varieties, improved product quality, advanced technology and equipment to the world's advanced level, made significant progress in enterprise mergers and acquisitions, and made positive progress in green development, intelligent manufacturing, standard construction, and international cooperation, effectively ensuring the healthy development of the economy and society. During the 14th Five Year Plan period, China's steel pipe industry has entered a stage of achieving high-quality development. However, there are still problems such as outdated development concepts, intensified homogenization competition, low industrial concentration, severe structural overcapacity, lack of guarantee for industrial chain security, and ecological environment constraints. In order to implement the suggestions of the Central Committee of the Communist Party of China on formulating the 14th Five Year Plan for National Economic and Social Development and the Long Range Objectives for 2035, and better promote the high-quality development of the steel pipe industry, the Steel Pipe Branch has formulated the Guiding Opinions on the Outline of the 14th Five Year Plan for the Development of the Steel Pipe Industry.

（1） Main achievements during the 13th Five Year Plan period

1. During the 13th Five Year Plan period, China has vigorously supported the high-quality development of the national economy. It has focused on building a modern economic system and effectively promoted the supply side structural reform of the country. Despite achieving phased results in the five major tasks of "three reductions, one reduction, and one supplement", the endogenous driving force for development has continued to strengthen, and the steel pipe industry in China has also ushered in a good period of development. The total production of steel pipes increased from 79.4567 million tons in 2016 to 89.5427 million tons in 2020, with an average annual growth rate of about 3%. The growth rate has rationally declined, and production and demand have returned to balance. The economic benefits of enterprises have significantly rebounded. The good development of the steel pipe industry has made positive contributions to China's energy industry, marine engineering, machine manufacturing, construction and other industries. At the same time, it has also provided key materials for the construction of national super projects and major engineering projects such as the Hong Kong Zhuhai Macao Bridge, the China Russia long-distance pipeline, Beijing New Airport, and Tianyan, effectively supporting the high-quality development of the national economy. 2. Rich variety and quality improvement of oil and gas industry pipes: ultra-high strength casings for deep and ultra deep wells, low-temperature and high toughness oil casings for oil and gas fields in cold regions, high and ultra-high anti extrusion casings, corrosion-resistant casings with H2S, CO2, CO2+H2S and multiple corrosive media coexisting, heavy-duty oil thermal oil casings, high-strength and toughness perforation gun barrels, and other high-end varieties have achieved localization; Developed expansion sleeves, titanium alloy pipes, composite pipes, etc; The proportion of pipes used for special threaded joints continues to expand and is exported in bulk to foreign countries.

(Image from the internet)

Pipes for ultra supercritical thermal power units: Independently developed G115 heat-resistant steel pipes have been applied to ultra 600 ℃ ultra supercritical units. Pipes for 600 ℃ ultra supercritical units such as P92 and S304432 have been partially localized, and domestic evaporator heat transfer pipes have been applied to nuclear power units and exported to foreign countries. Long distance pipeline: In a low-temperature environment (-45 ℃), X80 steel grade 1422 mm x 30.8 mm large-diameter, large-wall thickness straight seam submerged arc welded pipes, as well as hot bending pipes of the same steel grade and diameter with a wall thickness of 33.8 mm, were applied to the China Russia East Line. The X80 steel grade 1422 mm x 21.4 mm large-wall thickness spiral submerged arc welded pipes were trial produced using pre precision welding technology, and stainless steel composite welded pipes were developed. Ocean engineering: pipes for high-performance ocean platforms, pipes for combustible ice testing in deep sea areas, and ultra large diameter steel pipes for offshore wind power; Engineering machinery: Developed high-strength and high toughness crane boom tubes, with steel grades of Q690, Q770, and Q890, with a -40 ℃ impact energy of ≥ 45J (value -60 ℃ impact energy of ≥ 100J); Rotary excavator drill rod, steel grades Q550 and Q850, with an impact energy of ≥ 40J at -40 ℃, wall thickness accuracy of ± 10%, and advanced accuracy of ± 8%; Developed Q890 Ü 710mmX63mm and Ü 572mmX69mm large-diameter thick wall hydraulic support pipes. High end equipment pipes represented by high-strength precision pipes for automobiles and high-speed locomotives have achieved industrialization. Construction pipes: Large quantities and wide areas of construction pipes have been upgraded and replaced, and have been widely used in multiple "super projects" both domestically and internationally. 3. The production equipment and process technology of China's steel pipe enterprises are at the world's advanced level, and the overall equipment has reached the world's advanced level, with some reaching the international leading level. Seamless steel pipe production line: During the 13th Five Year Plan period, China has built and put into operation 16 sets of advanced continuous rolling pipe units and 11 sets of oblique rolling units. At the same time, most of the Plug units (automatic pipe rolling units) have been eliminated, and some backward oblique rolling units have been eliminated. The proportion of advanced units has significantly increased. By the end of the 13th Five Year Plan period, the production capacity and proportion of continuous rolling pipe units in China are close to 50% of the total production capacity and output of seamless steel pipes. In terms of welded pipe production lines: During the 13th Five Year Plan period, China built more than 100 welded pipe production lines, mainly concentrated in Hebei, Shaanxi, Shanxi, Guangdong and other regions. Most of the production lines are ERW units, with nearly 30% of them being square and rectangular pipe production lines (nearly 10 large and medium-sized production lines). In addition, some enterprises have built dozens of advanced stainless steel welded pipe production lines in order to open up the drinking water pipe market, and the overall level of the welded pipe production lines has been further improved. During the 13th Five Year Plan period, China's world advanced straight seam submerged arc welded steel pipe (UOE, JCOE, JCO) units and spiral seam submerged arc pre precision welded steel pipe units made important contributions to the construction of natural gas pipelines such as the West East Gas Pipeline 3 and the China Russia East Line, effectively promoting the adjustment of China's energy and industrial structure.

During the 13th Five Year Plan period, China achieved significant results in the localization of equipment. Except for one set of continuous rolling pipe mills imported from abroad, all other rolling mills (including cold rolling/drawing mills) were manufactured domestically; All types of newly built welded pipe units are also domestically manufactured; In addition, most online non-destructive testing equipment is also manufactured domestically. Significant breakthroughs have also been made in process technology: key technologies for online microstructure and performance control of hot-rolled seamless steel pipes, equipment development and application have won the Special Prize in Metallurgical Science and Technology. This project is the first to develop an online controlled cooling technology and equipment for hot-rolled seamless steel pipes with the functions of rapid and uniform cooling of the inner and outer walls and direct quenching. We have established an online organization control process method for hot-rolled seamless steel pipes, developed an integrated online organization control technology for steel pipes based on high-temperature deformation conditions and controlled cooling, and pioneered the development of a new composition system and process technology for hot-rolled seamless steel pipes such as high-grade oil casings, pipeline pipes, and structural pipes based on online controlled cooling and quenching. This project has achieved industrial and stable application for the first time internationally, providing a new technological means for the production of hot-rolled seamless steel pipes;

The 50000 ton super vertical extruder included in CCTV's "Super Equipment" has opened up a new process path for the one-time extrusion forming of complex equipment and pipeline components such as the main pump casing, main pipeline, trouser tee, valve body, etc. during the 13th Five Year Plan period, significantly reducing the cost of nuclear power construction, shortening the processing cycle, enhancing the manufacturing level and international competitiveness of nuclear power units;

（图片来自网络）

The independently developed double core bar rolling technology of the Aser unit has achieved an increase in rolling rhythm and significantly improved the production efficiency of the oblique rolling unit; The use of a stepper heating furnace for hot charging and hot delivery production of tube billets has achieved a significant breakthrough and formed a unique process path. 4. Significant progress has been made in mergers and acquisitions. Enterprise mergers and acquisitions are the only way to adjust and optimize industrial structure, actively transform development methods, and achieve long-term sustainable development. During the 13th Five Year Plan period, significant progress has been made in the merger and restructuring of steel pipe enterprises. In 2018, CITIC Taifu Special Steel Group restructured Jiangsu Hualing Xigang Special Steel Co., Ltd; In 2019, CITIC Taifu Special Steel Group restructured Zhejiang Gloss Seamless Steel Pipe Co., Ltd. In 2019, Shanghai Electric Group restructured Tianjin Steel Pipe Company; On January 4, 2021, CITIC Taifu Special Steel Economic and Trade Co., Ltd., as the intended transferee, acquired 40% equity of electrical steel pipes held by Shanghai Electric. In 2020, Tianjin Youfa Steel Pipe Group Co., Ltd. acquired 71% equity of Jiangsu Guoqiang Safety New Materials Co., Ltd. 5. Green development further enhances the adoption of internationally advanced activated carbon (CCMB) technology by some enterprises, which is applied to the desulfurization and denitrification of sintered activated carbon to meet the requirements of ultra-low emissions. The "Development and Application of Green and Efficient Electric Arc Furnace Smelting Technology and Equipment" project, participated by steel pipe enterprises, won the second prize of the 2019 National Science and Technology Progress Award. Significant innovative achievements have been made in green and efficient electric arc furnace smelting technologies, including ultra-high power intelligent power supply, efficient deep clean smelting, green transportation of scrap preheating, and efficient collaborative control integration; Promote refining dust removal and three-level dust removal in steelmaking to meet the environmental emission limit requirements of the steelmaking process. Some long-term enterprises continue to promote the implementation of blast furnace, converter gas power generation, and circular heating furnace flue gas waste heat power generation (adopting an efficient waste heat utilization power generation system with a "distributed steam boiler+centralized steam collection power generation" model, and achieving ultra-low carbon emissions of flue gas); Install solar panels on the roof of the factory building to achieve photovoltaic power generation. Small hot rolling production lines and wire drawing production lines have basically phased out inclined bottom heating furnaces and switched to stepper heating furnaces. Most gas generators have been phased out (except for a few areas). Significant breakthroughs have been made in the hot delivery and hot charging of tube billets, and a unique process path has been formed. The pickling production lines of large-scale galvanized welded pipe enterprises and backbone cold rolling/drawing pipe enterprises have basically achieved the collection and treatment of acid mist/gas, the treatment and reuse of waste acid and sludge, and the regeneration and reuse of wastewater. Enterprises above designated size have fully established an environmental online monitoring system for the main pollutant emissions in their factory areas. Multiple enterprises have obtained green factory certification and green product certification issued by the Ministry of Industry and Information Technology. 6. During the 13th Five Year Plan period, significant progress has been made in the digitalization and intelligence of industry enterprises. On the basis of implementing management systems such as ERP, MES, and SAP, major backbone enterprises have further promoted centralized/remote operations (including hot-rolled pipe production lines and welded pipe production lines), unmanned cranes, and unmanned power pump rooms; Industrial robot applications (including pipe end size measurement, pipe end grinding, weld seam grinding, marking/marking, sampling, pipe fitting handling, etc.); Intelligent detection: special thread diameter detection, steel pipe surface defect detection, tool surface defect detection, etc; Intelligent three-dimensional warehouse; Equipment inspection and operation and maintenance; Intelligent security management, etc. Some companies have introduced foreign acid detection, filtration, acid addition, and intelligent control processing systems. The sealed cycle acid washing technology and the production process of natural gas solid solution furnaces all use RFID intelligent tracking systems, thereby achieving efficient, safe, environmentally friendly, and green intelligent control of the entire process of stainless steel pipe acid washing. In addition to providing customers with pipeline products, some enterprises also provide intelligent management services for underground pipelines, including pipeline installation, operation and maintenance, real-time monitoring, predictive replacement, repair and scrapping, file updating and archiving, green, healthy and safe operation, as well as intelligent application of comprehensive pipeline networks and intelligent construction of comprehensive pipeline corridors. 7. The innovation of standards leads the transformation and upgrading of the industry, and the use of advanced standards leads the overall technological level and product quality improvement of the industry, which is of great significance for the supply side structural reform of China's steel pipe industry and the acceleration of the industry towards the mid to high end. The proposal of using seamless oil well tube online controlled cooling technology for casing production has successfully passed the acceptance application of the American Petroleum Institute (API) and officially entered the project approval process, achieving a zero breakthrough in the revision of API standards by Chinese steel pipe manufacturing enterprises. During the 13th Five Year Plan period, association enterprises actively participated in the formulation and promulgation of 52 national and industry standards, including 38 national standards, 14 industry standards, 29 formulation and 23 revision; Participated in the drafting and formulation of 13 industry group standards (6 of which were organized and compiled by the Steel Structure Association). Group standards, as standards independently formulated by the market, will be developed in synergy with existing government led standards to meet market innovation needs. This is an important measure to continuously improve China's standard system. During the 13th Five Year Plan period, the association insisted on using advanced standards to drive quality improvement. In 2017, a standard promotion organization was established to promote the implementation of the new standard (GB/T3091-2015) as an opportunity. The quality improvement action was taken as a specific action to deepen the supply side structural reform of the industry and an internal requirement to maintain the healthy development of the steel pipe industry. It achieved the goal of guiding and protecting the enthusiasm of enterprises for quality innovation and improvement, and promoted the healthy and sustainable development of industry enterprises. 8. During the 13th Five Year Plan period, industry enterprises have actively explored and steadily promoted overseas projects while implementing the "going out" strategy. They have successively won bids for long-distance natural gas pipeline projects in countries such as Thailand in Southeast Asia, Saudi Arabia in the Middle East, Oman in West Asia, Kazakhstan in Central Asia, and Nigeria in Africa. They have also established joint ventures and investment companies, built several JCOE straight seam submerged arc welded pipe production lines, large-diameter spiral seam pre precision welded steel pipe production lines, internal and external anti-corrosion production lines, 3PE steel pipe anti-corrosion lines, hot expanded steel pipe production lines, cold drawn steel pipe production lines, steel pipe heat treatment production lines, as well as oil well pipe wire processing production lines and steel pipe finishing inspection lines, to meet the needs of these regional countries. The demand for long-distance oil and gas pipelines, oil well pipelines, and precision seamless steel pipes. There are also some enterprises that have deeply rooted in the market along the "the Belt and Road", implemented the product going global strategy, and applied nuclear power management products to Pakistan Chashma Nuclear Power Plant Improvement Project, which is the first overseas export project of China's independent third-generation nuclear power technology "Hualong No.1" - Pakistan Karachi Nuclear Power Project. New steel pipes and cold formed steel tools and dies have been popularized and applied to more than 20 countries such as Ukraine, Belarus and India in the "the Belt and Road Initiative", which has witnessed the gratifying results of exchanging independent technologies for international markets. Some brands of rectangular tubes have become the supply products of the greenhouse project of Egypt's "Million Ferdinand Land Improvement Plan", a key project of the "the Belt and Road" of the Ministry of Agriculture of China. （2） The main problem faced is that the industry concentration is still low. During the 13th Five Year Plan period, although the concentration of China's steel pipe industry has increased, it is still at a relatively low level. In 2020, the top 10 seamless steel pipe enterprises accounted for 48% of China's seamless steel pipe production, while the top 10 welded steel pipe enterprises accounted for 60% of welded steel pipe production. There is a significant gap in the concentration of the steel pipe industry compared to developed countries and regions such as Japan, the United States, and the European Union. 2. Due to severe overcapacity and intensified homogenization competition, a new round of steel pipe production capacity expansion has rebounded since 2017. According to statistics, the production capacity of seamless steel pipes that have been put into operation, under construction, and planned for construction in the past three years is about 8.7 million tons, accounting for about 21% of the existing production capacity. Meanwhile, there are still nearly ten million tons of production capacity in a shutdown state. The rapid increase in new production capacity has had a significant impact on the just improving supply and demand market environment. The construction of a large number of advanced units has not only caused huge resource waste, but also expanded the homogenized competition of products from the low to middle end to the mid to high end. In 2020, China's steel pipe production was 89.54 million tons, with a capacity utilization rate of about 75.9%. Among them, the production of seamless steel pipes was 27.87 million tons, with a capacity utilization rate of only 66.4%. The problem of overcapacity in seamless steel pipes has become more prominent. 3. Insufficient scientific research investment and weak independent innovation ability. Currently, the mechanism and endogenous driving force for independent innovation in most steel pipe enterprises have not been fully established, and the ability of innovation driven development is not strong. They have not yet crossed the old model of digestion, absorption, and imitation of innovation; Many enterprises have not yet established a complete R&D system; Most enterprises still have significant gaps in terms of long-term mechanisms for R&D investment, dual track system for scientific researchers, multi-channel system, and cultivation of innovative culture compared to advanced enterprises in the industry, especially compared to peers in the international industry. In terms of production technology, technical equipment, and independent innovation of key varieties, there has been little progress and not many achievements. Basic research and process research are not given enough attention, and research lags behind. Long term insufficient R&D investment, and during the 13th Five Year Plan period, due to the low level of industry efficiency, enterprises are facing even more difficulties in R&D investment. 4. The internationalization development of China's steel pipe industry still faces significant challenges. China is the world's largest producer of steel pipes and also a major exporter of steel pipes. However, the internationalization level of the industry is relatively low, and it is still in the initial stage of global industrial layout. At present, China's steel pipe enterprises still rely mainly on products to go global. Due to the large number of export enterprises, the business model is relatively single, and the trade market is relatively concentrated. In the international market, it is mainly the competition between domestic enterprises. There are not many successful cases of overseas investment and factory construction in the industry, mainly due to the lack of international management talents, lack of understanding of international geopolitical, legal environment, environmental requirements, etc., and unclear understanding of the local labor market and employment mechanism. Even on-site construction is significantly different from that in China, resulting in poor operation of most overseas factories. Some factories even close down and sell off, and some projects are put on hold due to insufficient investment budget, resulting in extended construction periods. In recent years, due to the deep adjustment of the global economic landscape and the increasingly fierce competition among major powers, unilateralism, protectionism, and populism have clearly emerged, and economic globalization has encountered a backlash. Therefore, in order for steel pipe enterprises to truly go global, they will face enormous challenges, and there is still a long way to go in the future. 5. The industrial chain is not matched, and the supply of raw materials (plate and strip) is imbalanced. China's steel pipe production is nearly 90 million tons, and only about 15% of the raw materials (pipe or strip steel) are self supplied by enterprises, while about 85% of the raw materials are purchased through the market. Among them, about 99% of welded pipe production relies on externally purchased plate coils. During the 12th Five Year Plan period, there were slight signs of tension in the supply of raw materials. During the 13th Five Year Plan period, some supply enterprises expanded or built their own pipe factories, which exacerbated the shortage of raw material supply and also brought some problems. One is the price issue. Due to the tight supply of billets, steel pipe companies can only passively follow when market prices fluctuate; Secondly, there are quality issues with the raw materials. As it is a seller's market, it is also difficult for steel pipe companies to win lawsuits. In order to ensure long-term supply, steel pipe companies usually turn the big picture into a small one and turn the small things into nothing; The third issue is the guarantee of raw material supply. The occurrence of production restrictions or shutdowns in steel mills will inevitably affect the supply of raw materials, leading to unstable production and even shutdowns in steel pipe enterprises. In addition, since 2021, the country has put forward requirements to reduce crude steel production, which will inevitably put significant pressure on the supply of raw materials. 6. Green and low-carbon development is a long and arduous task to achieve carbon peak before 2030 and carbon neutrality before 2060. This is China's commitment to the international community and an important strategy that will affect China's economic development in the next 40 years. As a carbon emitting industry in China, the steel industry must comprehensively improve its level of green and low-carbon development, achieve carbon peak and carbon neutrality goals, and take practical and effective measures to promote carbon reduction. The 14th Five Year Plan period is a crucial period for achieving carbon peak and carbon neutrality goals. The steel industry will face constraints from the relative intensity of carbon emissions to the total amount of carbon emissions, while also facing more international challenges from the carbon economy. Therefore, under the constraints of carbon peak and carbon neutrality goals, the steel pipe industry will accelerate the promotion of improving production processes, updating production equipment, and using low-carbon energy throughout the industry, rapidly achieving low-carbon transformation of the steel industry and energy structure; On the other hand, it encourages steel enterprises to actively innovate, abandon high carbon emission products and businesses, develop deep decarbonization and zero carbon technologies, promote green layout, promote advanced and applicable energy-saving and low-carbon technologies, optimize energy consumption and process structure, improve the utilization of new and renewable energy, integrate regional energy and resources, and build a circular economy industry chain. In addition, with the help of "Internet plus" and big data technology, it is also necessary to build an information management, control and evaluation platform for the whole process of steel, so as to drive the steel industry's carbon peak and carbon emission reduction through innovation.

（1） Macro situation

During the 14th Five Year Plan period, China was in a period of deep adjustment with unprecedented changes, a period of sustained impact from the unprecedented pandemic, and a historical intersection of the two centenary goals. These three centenary goals have overlapped and interacted with each other, shaping the complex historical background of China's economic and social development in the new era. From the perspective of the international environment, the global economic landscape is undergoing profound adjustments, with increasingly fierce power struggles, a clear rise in unilateralism, protectionism, and populism. Economic globalization is facing a backlash, international economic and trade rules are facing restructuring, and the international industrial division of labor is facing profound changes. The new round of technological revolution and transformation is advancing rapidly, and the competition among countries for technological high ground is becoming increasingly fierce. Artificial intelligence, quantum technology, biotechnology and other fields are flourishing, and technological competition has become an important aspect of competition among major countries. The future global economic landscape and innovation landscape may be restructured, and further influence or even reshape the global competitive landscape. The global governance landscape will become more complex and ever-changing, and the governance system is expected to continue the trend of change. Countries will coordinate, cooperate, and compete through game theory. The global development model is shifting towards a more green and intensive approach. Under the framework of the Paris Agreement, carbon reduction target plans have been successively introduced by various countries, and carbon reduction has become a global consensus. The awareness of promoting green development in various countries has been further strengthened. From the perspective of domestic environment, China's development during the 14th Five Year Plan period is still in an important strategic opportunity period. The economy is showing long-term improvement, with ample potential, strong resilience, and ample room for maneuver; Strong material foundation, abundant human resources, and vast market space; Significant institutional advantages, improved governance efficiency, overall social stability, strong resilience for continued development, and multiple advantages and conditions. The accelerated evolution of the new round of technological revolution and industrial transformation has provided opportunities for China to achieve innovative development and "overtaking on curves"; The profound adjustment of international power balance has provided impetus for China to achieve national rejuvenation; The adjustment of the global governance system has provided conditions for China to play a greater role internationally; The fight against the COVID-19 has strengthened the world's recognition of China's system, culture and governance; The changes in the main social contradictions have created new impetus for China to achieve new development. From the perspective of the steel industry, as an important basic industry of China's national economy, it is an important support for building a modern strong country. In 2020, the Chinese government proposed the goal of achieving carbon peak before 2030 and carbon neutrality before 2060. As an energy intensive industry and a major emitter of carbon emissions in the industrial sector, the steel industry will face severe challenges such as peaking carbon emissions and reducing carbon emissions. Since 2021, in order to achieve carbon peak and carbon emission reduction targets, the country has put forward target requirements for controlling production capacity and limiting output in the steel industry, and has twice adjusted steel product tariffs and cancelled export tax rebates for steel products. The introduction of these policies has a significant impact on the economic operation of the industry. In the future, the steel industry will face a series of changes in domestic steel demand structure, steel product supply structure, steel production process structure, and steel production resource structure. Therefore, steel companies need to improve their positioning, change their mindset, support domestic efforts to reduce crude steel production, proactively adjust their export strategies, consciously reduce the total export volume, guide the steel industry to reduce energy consumption, and promote the transformation, upgrading, and high-quality development of the steel industry. So as to ensure the supply of internal circulation and reduce energy and resource consumption.

（2） The main industry situation downstream of steel pipes
1. The real estate industry

In 2020, the national real estate development investment was 14.14 trillion yuan, an increase of 7.0% compared to the previous year; The sales area of commercial housing is 176086 million square meters, an increase of 2.6% compared to the previous year; The National Housing Prosperity Index is 100.76. The Outline of the 14th Five Year Plan points out that a long-term mechanism for the stable and healthy development of the real estate market should be implemented to promote balanced development between the real estate industry and the real economy. During the 14th Five Year Plan period, the urbanization rate of the permanent population has increased from the current 60% to 65%. The future real estate policies will maintain a certain degree of stability, and the focus of the real estate market will shift from driving economic growth to enhancing people's well-being. The real estate industry is not only the largest steel consumption market, but also the largest steel pipe consumption field. Steel consumption accounts for more than 40% of China's total steel consumption. In 2020, the steel consumption in the real estate industry increased by about 10%. During the 14th Five Year Plan period, steel demand will continue to fluctuate at a high level.

2. Steel structure industry

In recent years, China's steel structure industry has developed rapidly, with the production of steel structures (plates, sections, pipes, cables) increasing from 51 million tons in 2015 to about 89 million tons in 2020, accounting for about 8.4% of the country's crude steel production. Among them, prefabricated buildings account for over 15% of newly built buildings. On July 15, 2020, the Ministry of Housing and Urban Rural Development and seven other ministries jointly issued the Notice on Issuing the Action Plan for Green Building Creation, which clearly stated the need to vigorously develop prefabricated buildings such as steel structures, and the principle of using steel structures for new public buildings. On September 8 of the same year, the National Development and Reform Commission and four other ministries jointly issued the Guiding Opinions on Expanding Investment in Strategic Emerging Industries, Cultivating and Strengthening New Growth Points and Growth Poles, which clearly stated the need to actively promote green construction, accelerate the coordinated development of intelligent construction and building industrialization, vigorously develop steel structure buildings, improve resource utilization efficiency, and significantly reduce energy, material, and water consumption levels. In addition, with the expansion of investment scale in the "new infrastructure" industry, urban high-speed rail and rail transit, ultra-high voltage construction, and 5G base station construction have brought huge potential growth demand to the steel structure industry. During the 14th Five Year Plan period, guided by policies such as accelerating the promotion and application of steel structure construction, the production of steel structures will exceed 100 million tons, with steel pipes accounting for about 8% of the steel structure production.

3. The petroleum and chemical industry

During the 13th Five Year Plan period, China's petrochemical product guarantee capacity continued to strengthen, and the supply of oil and gas showed a trend of stable oil and gas growth. As of the end of 2019, the newly discovered geological reserves of oil exceeded 3.8 billion tons, and the newly discovered geological reserves of natural gas reached 2.92 trillion cubic meters. In 2020, crude oil production reached 195 million tons, a year-on-year increase of 1.6%; The natural gas production was 188.85 billion cubic meters, a year-on-year increase of 9.8%. However, at the same time, China's dependence on foreign oil and natural gas is too high, and energy security concerns continue to rise.

In January 2021, the China Petroleum and Chemical Industry Federation released the "14th Five Year Plan Development Guidelines and Long Range Objectives for the Petroleum and Chemical Industry by 2035". Based on the goals and tasks of the "14th Five Year Plan", the petrochemical industry will enhance its oil and gas security capabilities from four aspects. One is to maintain the bottom line of domestic oil and gas production and improve supply guarantee capabilities. Strengthen resource geological surveys and resource evaluations to ensure effective resource replacement, while achieving steady progress in oil production, maintaining a steady increase in natural gas production, and maintaining stable growth in oil and gas reserves during the 14th Five Year Plan period. By 2025, the overall annual crude oil production in China will remain around 200 million tons, and domestic gas production will strive to exceed 220 billion cubic meters per year. The second is to accelerate infrastructure construction and improve the level of energy security guarantee. By 2025, the total mileage of pipelines will increase by more than 25%, the gas transmission capacity of trunk lines will increase by more than 25%, the capacity of LNG receiving stations will reach about 150 million tons/year, and the cumulative working gas volume of domestic underground gas storage facilities will significantly increase. During the 14th Five Year Plan period, efforts should be made to increase the construction of gas storage and peak shaving capacity, focusing on the main natural gas consumption areas and import channels in China. The construction of regional underground gas storage facilities should be accelerated, and LNG storage facilities should be supported. Gradually, a comprehensive multi-level peak shaving system should be improved, with underground gas storage facilities, coastal LNG receiving stations as the main focus, inland intensive and large-scale LNG storage tanks as the auxiliary, gas field peak shaving, CNG, LNG storage stations, and interruptible user peak shaving as a supplement, and network interconnection as the support. Further improve the petroleum reserve system and enhance the level of energy security guarantee. Promote the establishment and improvement of an organic and complementary reserve system that combines government reserves, commercial reserves, enterprise obligation reserves, and enterprise production and operation inventories, and improve the security of national oil supply through multiple methods and channels. The third is to improve the quality of development in the oil and gas industry and promote industry integration and development. By 2025, a petroleum engineering equipment and oilfield engineering technology service industry system with international advanced level will be formed, further improving the development quality of the oil and gas industry, playing a decisive role in technological innovation, focusing on the exploration and development of deep onshore and offshore oil and gas, promoting major theoretical breakthroughs, major technological innovations, and localization of major equipment, and promoting basic theoretical innovation and breakthroughs in complex area exploration technology. We will focus on tackling low-cost and environmentally friendly technology and equipment systems, and comprehensively improve the level of oil and gas equipment and engineering technology services in China. Promote the green and low-carbon development of the oil and gas industry, promote energy conservation and consumption reduction, innovate energy-saving and emission reduction concepts, technologies, and management, and further reduce the emissions of "three wastes". Promote the integrated development of industries, encourage the traditional oil and gas industry to transform into a smart oil and gas development mode, enhance the application level of new technologies in the oil and gas industry, accelerate industrial upgrading, and open up new prospects for industry development. The fourth is to promote the optimization of energy structure and accelerate the pace of energy transformation. Promote the development of hydrogen energy and industrial demonstration, further support oil and gas enterprises in accelerating the transformation of clean energy, and promote the work of "carbon peaking and carbon neutrality". Breakthroughs have been made in new fields such as combustible ice, geothermal energy, hydrogen energy, and offshore wind power to enhance the level of clean energy supply. Further increase the technological reserves and project construction demonstration of carbon capture and storage. Improve green financial systems such as carbon trading to support the higher quality development of the oil and gas industry.



4. Construction machinery

During the 13th Five Year Plan period, the structure of China's construction machinery industry has undergone significant changes, and the quality of enterprise development has steadily improved. Economic benefits, labor productivity, R&D investment intensity, digitalization, intelligent achievements, and green development indicators have significantly improved; The self-development ability and endogenous growth momentum of enterprises have significantly improved; A more reasonable industrial structure, product structure, and industrial layout; The market structure is more balanced, and the ability to cope with external risks and market fluctuations is enhanced; The proportion of international business has increased, and the domestic and international markets have developed in a balanced manner; Positive progress has been made in corporate brand building.

During the 13th Five Year Plan period, China's construction machinery industry has shown a comprehensive improvement in scale, efficiency, brand value, internationalization, innovative research and development, and intelligent manufacturing. The industrial scale of the industry has grown from 457 billion yuan at the end of the 12th Five Year Plan (2015) to 775.1 billion yuan in 2020, and the export value has increased from 19 billion yuan to 24.3 billion yuan in 2019. In 2020, the export value decreased to 21 billion yuan due to the impact of the epidemic. Despite the severe impact of the epidemic in 2020, products such as excavators, loaders, cranes, and forklifts continued to grow significantly. During the 14th Five Year Plan period, the construction machinery industry will carry out work around the following six tasks. Firstly, continue to promote research and various work on building a strong manufacturing country; Secondly, we must continue to promote the high-quality development of the construction machinery industry; Thirdly, further clarify the key projects and tasks related to technology, key components, and key processes in the development of key areas during the 14th Five Year Plan period; Fourthly, new progress should be made in areas such as intelligence, greenness, and high-end development; Fifth, continue to strengthen the research and development, application and promotion of common technologies, basic technologies, and industrialization of scientific research achievements; Sixth, we will solidly promote the pace of internationalization. The industrial scale has grown from 775.1 billion to 900 billion, the export value has increased from 21 billion to 28 billion, and the proportion of intelligent products has increased from 5% to 10%

5. The automotive industry

After years of development, China has become a major automobile country, and currently the proportion of automobile manufacturing revenue to manufacturing revenue remains stable at over 8.5%. Since 2009, China's automobile production and sales have been ranked first in the world for 12 consecutive years, and reached a peak of 28.88 million new car sales in 2017. Among them, the commercial vehicle market has remained stable in the high development range for the past three years. In 2020, China's annual sales of automobiles reached 25.311 million units, continuing to hold the top spot in the world. The production and sales of new energy vehicles reached 1.366 million and 1.367 million respectively, with year-on-year growth of 7.5% and 10.9%. Among them, the production and sales of pure electric vehicles reached 1.105 million and 1.115 million respectively, with year-on-year growth of 5.4% and 11.6%. The scale of China's automobile ownership continues to increase. As of the end of 2020, the national automobile ownership has reached 281 million, including 4.92 million new energy vehicles. The production, sales, and ownership have ranked first in the world for six consecutive years.

During the 14th Five Year Plan period, the automotive industry will fully leverage its leading role in the automotive market as a major country, explore a new era of globalization in the automotive industry, and strive to achieve stable growth in the automotive market and high-quality development of the automotive industry through efforts during the 14th Five Year Plan period, laying a solid foundation for building a strong automotive country. By 2025, focusing on the vision of achieving carbon peak and carbon neutrality, the automotive industry will comprehensively promote low-carbon development and strive to become a leading industry in achieving carbon peak and carbon neutrality; Fully utilize both domestic and international resources and markets to form internationally competitive brands, with 1-2 automotive companies entering the top 10 of the world's automotive industry rankings; The proportion of new energy vehicle sales exceeds 20%, and the average electricity consumption of pure electric passenger vehicles has decreased to 12.0 kilowatt hours per 100 kilometers; Several automotive component conglomerates have entered the top 10 globally, leading the world in the fields of energy-saving vehicles, new energy vehicles, and intelligent connected vehicles. Based on the stable and positive development trend of China's macroeconomy and the objective laws of industrial development, it can be comprehensively judged that the automotive industry in China will continue to develop in the coming years, and the stable growth of the market will remain an unchanged trend, with the production and sales scale remaining at a high level. During the 14th Five Year Plan period, the average annual growth rate of new energy vehicles in China will be over 30%, with new car sales exceeding 6.4 million units.

6. Electricity industry

Electricity is an important basic industry that is related to national economy and people's livelihood. As of the end of 2020, the total installed capacity of power generation in China was 2.2 billion kilowatts, a year-on-year increase of 9.5%. Among them, the installed capacity of full caliber coal-fired power is 1.08 billion kilowatts, accounting for 49.1% of the total installed capacity, which has dropped below 50% for the first time. In 2020, the total electricity consumption in society was 7.51 trillion kilowatt hours, a year-on-year increase of 3.1%. During the 13th Five Year Plan period, the installed capacity of full caliber power generation in China increased at an average annual rate of 7.6%, and the power generation increased at an average annual rate of 5.8%. The average annual growth rate of non fossil energy installed capacity is 13.1%, with a 10 percentage point increase in its proportion to the total installed capacity; The average annual growth rate of coal-fired power installed capacity is 3.7%, and its proportion in the total installed capacity has decreased from 59% at the end of 2015 to 49.1% at the end of 2020. In 2020, the newly installed capacity of grid connected wind power and solar power generation was 71.67 million kilowatts and 48.2 million kilowatts, respectively, setting a new historical high for the newly installed capacity of grid connected wind power. “

The 14th Five Year Plan is a key window period for China's energy transformation and clean energy development. As an important field for achieving the "dual carbon" goals, the low-carbon development of the power industry plays a crucial role in achieving the "dual carbon" goals in China. It is expected that by 2025, the total electricity consumption in China will reach 9.2 trillion kilowatt hours; The total installed capacity of power supply is 2.95 billion kilowatts, of which the installed capacity of clean energy reaches 1.7 billion kilowatts, accounting for 57.5% of the total installed capacity. The installed capacity of coal-fired power is 1.25 billion kilowatts, accounting for 42.5% of the total installed capacity; The national power generation is 9.3 trillion kilowatt hours, of which the clean energy generation is 4.15 trillion kilowatt hours, accounting for 45%. Due to the reverse distribution of resource endowment and electricity demand, the power flow pattern of China's "West East Power Transmission" and "South North Power Transmission" is determined. It is expected that the scale of cross provincial and cross regional power flow in China will continue to expand, reaching 360 million kilowatts and 27.75 million kilowatts of cross-border power flow by 2025. Therefore, the development of the power grid during the 14th Five Year Plan period will focus on coordinating the development needs of the main and distribution networks, urban and rural areas, and the eastern and western regions. We will accelerate the construction of synchronous power grids in the eastern and western regions with ultra-high voltage as the backbone, further strengthen regional 750 and 500 kV main grids, optimize and improve the layering and zoning of 330 and 220 kV power grids, achieve coordinated development of power grids at all levels, promote large-scale development and efficient utilization of clean energy, and create a first-class modern distribution network with high reliability, interactive friendliness, and economic efficiency.

（1） Guiding ideology

With the theme of promoting high-quality development, we will continue to deepen supply side structural reform, actively promote joint restructuring and industrial chain extension; Focusing on the innovation driven development strategy, seizing the strategic opportunities of the new round of technology and industrial revolution, connecting and implementing the requirements of carbon peak and carbon neutrality, improving resource guarantee capabilities, and promoting the advanced industrial foundation and modernization of the steel pipe industry's industrial chain; Improve the economic quality and efficiency of the entire industry, strive to move from a steel pipe manufacturing powerhouse to a steel pipe manufacturing powerhouse, promote the high-quality development of China's steel pipe industry, and build a socialist modern steel pipe powerhouse.

（2） Basic principles

——Adhere to the new development concept. Guided by high-quality development, relying on advanced concepts such as innovation driven, green development, and intelligent manufacturing to seize the high ground of development, accurately identifying changes, scientifically responding, and actively seeking change, we will integrate new development concepts throughout the entire development process, construct a new development pattern, and strive to achieve higher quality, more efficiency, more fairness, more sustainable, and safer development.

——Adhere to innovation driven development. Implement the national innovation driven development strategy, accelerate the deep integration of industrialization and informatization, seize the major opportunities of the new round of scientific and technological revolution and industrial transformation, build a modern industrial technology system with a reasonable structure, advanced management, open compatibility, independent controllability, and international competitiveness, and comprehensively shape new development advantages.

——Persist in deepening reform and expanding opening up. Strengthen the construction of industrial modernization, remove all institutional and institutional obstacles that hinder high-quality development and scientific development, strengthen major reform and opening up measures that are conducive to improving resource allocation efficiency and mobilizing the enthusiasm of the entire industry, and enhance the driving force and vitality of the development of the entire industry.


——Adhere to low-carbon and green development. In accordance with the requirements of building a resource-saving and environmentally friendly society, we will vigorously develop a circular economy and low-carbon economy, actively implement clean production, strengthen energy conservation and emission reduction, promote and apply low-carbon technologies, comprehensively utilize waste resources, actively cultivate green enterprises with low input, high output, low consumption, low emissions, recyclability, and sustainability, promote the unity of economic and ecological benefits, and coordinate enterprise development with environmental protection.

（3） Development goals

1. Consolidate the industrial foundation. Further enhance equipment level, accelerate the application of information technology in the field of steel pipe manufacturing, promote digital transformation, significantly enhance intelligent manufacturing of steel pipes, and significantly improve the level of advanced industrial foundation and modernization of industrial chain.

2. Improve industrial concentration. Promote the merger and reorganization of leading enterprises and advantageous enterprises, create several specialized first-class enterprises, and strive to achieve a 70% industrial concentration of the top 10 welded pipe enterprises and a 60% industrial concentration of the top 10 seamless pipe enterprises, while maintaining a reasonable capacity utilization rate.

3. Innovation driven development. Accelerate the promotion of collaborative innovation between industry, academia, research and application, promote the transformation and application of scientific and technological innovation achievements, and achieve a research and development investment intensity of 1.5% in the entire industry. The R&D investment intensity of key backbone enterprises has reached 3.0%. Strengthen the construction of innovation platforms, focus on original innovation, industrial innovation, and integrated innovation, cultivate a team of innovative talents, promote the organic connection between the innovation chain, industrial chain, and market demand, and strive to be the vanguard of innovation driven development.

4. Promote green and low-carbon development. Around the carbon peak and carbon neutrality target nodes, we will implement industrial low-carbon actions and green manufacturing projects, striving to be the first to achieve carbon emissions peak. The completion rate of ultra-low emission transformation in the industry has reached over 80%, and all enterprises in key areas have completed ultra-low emission transformation. The total pollutant emissions have been reduced by more than 20%, the total energy consumption and intensity have been reduced by more than 5%, the water resource consumption intensity has been reduced by more than 10%, and the water reuse rate has reached over 98%.

5. Improve quality and efficiency. Strengthen the main responsibility of enterprises, improve the reliability, stability, and consistency of product quality, achieve overall international advanced level of physical quality, achieve dynamic balance between supply and demand in production, and further improve the industry profit margin level.

（1） Further promote the restructuring between enterprises

Mergers and reorganizations of enterprises are a necessity for development under the new situation and a trend of the times. Promoting the merger and reorganization of steel pipe enterprises and increasing industry concentration is also a key focus of structural adjustment in China's steel pipe industry. Reorganization not only eliminated some outdated equipment, integrated resources, improved the management level and competitiveness of enterprises, but also promoted the development and progress of the industry. In recent years, some advantageous enterprises have actively promoted the merger and reorganization of steel pipe enterprises and achieved significant results. During the 14th Five Year Plan period, the steel pipe industry needs to increase its pace of restructuring.

1. Promote the merger and reorganization of key backbone enterprises. Cultivate several world-class super large steel pipe enterprise groups in the fields of seamless steel pipes and welded pipes respectively; Enhance the competitiveness of Chinese steel pipes in the international market while avoiding homogenization and vicious competition of high-end products in the domestic market. 2. Promote mergers and reorganizations of enterprises in industrial clusters. Using assets as a link and led by the government, we will promote the merger and reorganization of steel pipe enterprises in the region, change the "small and scattered" situation of the steel pipe industry in the region, enhance industrial concentration, and enhance the competitiveness of products in the region. 3. Reorganization and cooperation of upstream and downstream enterprises in the industrial chain: Production enterprises using raw materials (upstream plates and billets), and cooperation and collaboration with downstream product manufacturing enterprises (oil cylinders, transmission shafts, steel structural components, etc.) to enhance the overall competitive advantage of the industrial chain.

（2） Intensify the promotion of technological innovation and promote product structure adjustment

Technological innovation in steel pipe enterprises is of great significance for enhancing their competitiveness: it can reshape cost advantages; Enable enterprises to enter the core technological fields of the industry; Can enable enterprises to establish barriers and barriers to competition; Being able to meet the needs of customers; Can reshape the market value of the product portfolio; Can support the creation of mid to high end products.

To highlight the position of enterprises as the main body of innovation, increase close cooperation with universities and research institutes, and strengthen horizontal cooperation between enterprises, concentrate resources on joint research and development, share scientific research achievements, and achieve common development. In addition, enterprises should strengthen the construction and training of technical talent teams, increase investment in scientific research funds, and backbone enterprises should actively play the role of enterprise technology centers.

1. Key points of basic theoretical research and process technology innovation

(1) Emphasize research on fundamental theories

Industry enterprises should carry out cooperation with universities and research institutes, and conduct in-depth research on basic theories and processes. We should focus on conducting theoretical research on steel pipe continuous rolling, the mechanism of defects generated during the deformation process of high alloy steel pipes, the integrated heat treatment control mechanism of bimetallic deformation mechanism and performance, the mechanism and control technology of the influence of rare earth elements on the service performance of seamless steel pipes, the casing damage mechanism and control technology of high-strength (125kis steel grade and above) oil casings under shale gas service conditions, the fracture mechanism and control technology of high-strength (X70 steel grade and above) gas transmission pipelines, the strengthening and toughening mechanism and control technology of welded steel pipe welds and heat affected zones, and the mechanism and mechanism of online controlled cooling microstructure and performance control of hot-rolled steel pipes. (2) Deepen research on process technology and cooperate with equipment manufacturing enterprises, actively develop relevant process intelligent control technologies and applications. Such as head and tail "sharpening (thinning)" technology, "hydraulic small bin" control technology, "CEC" control technology, "WTCA" control technology, etc. Develop full process product manufacturing and digital and information technology research and application of quality characteristics, to meet the requirements of high reliability of product quality and digital and intelligent pipeline construction. Emphasis is placed on conducting research on the full process technology of smelting, rolling/extrusion, heat treatment, and other materials such as high alloy steel, stainless steel, iron nickel alloy, titanium alloy, and bimetallic materials. Emphasis should be placed on the manufacturing technology of high-strength, high toughness, large diameter, large wall thickness, and ultra long welded pipeline pipes, as well as research on the manufacturing technology and application evaluation of pipeline pipes for special service environments such as high strain resistance, low-temperature service, and corrosion resistance. Deepening the research on process technology to improve the quality of steel pipes, including the smelting of clean steel, narrow range composition, performance control, dimensional (wall thickness, outer diameter, roundness) accuracy, internal and external surface quality, weld quality (including the requirements for improving the quality of circumferential welds in conjunction with pipeline construction), performance stability, and other quality control studies; We need to conduct in-depth research on thickness control technology for galvanized pipes. Actively promote the construction of new full process steel pipe production enterprises, combined with digital and intelligent technology, to implement hot delivery and hot charging processes for continuous casting pipe billets; Further promote the transformation of stepper heating furnaces to replace inclined bottom furnaces; Actively promote the application of online controlled cooling technology for hot-rolled steel pipes in the industry, and further study the mechanism of online control of microstructure and properties of hot-rolled steel pipes with different compositions and cooling rates; Conduct in-depth research on the influence and regulation of different cooling methods (cooling rates) on the microstructure and properties during the cooling process of the online normalization process for steel pipes; Co