December 3rd, the 7th Terminal Business Exchange Meeting of Youfa Group was held in Kunming.
Chen Guangling, General Manager of Youfa Group, issued a call to the attending partners to "Win with a Smile, Win Together with Service Terminals". In his view, if there is no trend in the industry, Youfa Group should fully leverage its exemplary effect in the industry. According to his introduction, in 2024, Youfa Group will transform from simply pursuing quantity expansion to creating more value for end customers. Focusing on the goal of "big Youfa, win together", we will lead and guide our distributors to layout end and service terminals, and jointly provide more and better solutions for end customers through upgrading services.
He emphasized that in order to lead the majority of dealers to win together, Youfa Group has implemented a trillion yuan project and fully supports partners with strong intentions in transformation and upgrading. On the other hand, it will drive continuous innovation in products and businesses, bringing more new profit points to partners. At the same time, we will firmly promote internal cost reduction, efficiency improvement, and quality improvement, allocate more resources to the front line of the market, steadily promote the national production layout, and form more industrial bases by building or integrating more regional steel pipe enterprises, providing better close range service guarantees for our partners. Create a trend with products and services, and lead the partners of Dayoufa to win together.
In the face of the new situation in the industry, in order to break out of the cycle, in addition to winning through service, Xu Guangyou, Deputy General Manager of Youfa Group, said that dealers also need to learn how to "win through transformation and collaboration". He said that in 2024, the steel industry will continue to have overcapacity and supply exceeds demand, and the uncertainty of prices is strengthening. Steel companies are still suffering on the line of losses; The welded pipe industry has sufficient raw materials, and the concentration of the industry will further increase, which is conducive to the coordinated development of industry enterprises, alleviating the disorderly and malicious competition situation, and promoting the healthy development of the industry. As a million ton enterprise in the welded pipe industry, Youfa will continue to implement the national layout plan, promote industry integration and regional collaboration, and continue to lead the industry's high-quality and healthy development.
He stated that Youfa's marketing work plan for 2024 will continue to steadfastly transform terminals, deepen marketing revolution, promote joint transformation among manufacturers, fully implement the strategic deployment of the "100 trillion yuan project", and continue to take multiple measures with policy guidance and terminal resource support to lead industry transformation. At the same time, Youfa Group will also adhere to the policy of collaborative profit increase and collaborative share protection, promote the transformation from "quantity based profit" to "price based profit", lead dealers out of the low gross profit quagmire, create more value for users through various forms such as operating profit increase, stabilizing price based profit increase, product based profit increase, and service based profit increase, help users to do, know how to do, and do well in products and services, cultivate stable profit growth, and fight a "turnaround battle" in the industry winter.
Under the new normal, the development of the steel pipe industry is not only a zero sum game, but also a synergy and cooperation. As a tens of millions of tons enterprise in the steel pipe industry, Youfa Group always adheres to the principle of win-win, mutual benefit, and trustworthiness, and takes unity and progress as the first priority. On the basis of value convergence and goal vision convergence, it cooperates with upstream and downstream enterprises in the industrial chain, continuously expanding and strengthening the "circle of friends" of the industrial ecosystem.
At this cooperation conference, under the leadership of Guo Rui, Assistant Chairman of Youfa Group and Director of Strategic Development Center, a collective signing ceremony was held for four projects: Youfa Group's Anhui Linquan Youfa Green Pipeline Production Base Project, Shandong Weifang Trench Pipe R&D and Production Processing Base Project, "Pan Tong Tian Xia" Pan Kou Leasing Platform Project, and Yunnan Tonghai Fangyuan and Youfa Group Comprehensive Cooperation Project. Chen Guangling, General Manager of Youfa Group, Chen Kechun, Chairman of the Supervisory Board and Chairman of Pipeline Technology, Li Xiangdong, Deputy General Manager and Chairman of New Building Materials, and Xu Guangyou, Deputy General Manager, signed cooperation agreements with relevant local government leaders and responsible persons of cooperating enterprises to promote the healthy development of the industry through mutual benefit and win-win cooperation.
Regarding the future development of the industry, Chairman Li Maojin gave a concluding speech titled "Consolidating Heroic Strength and Winning Industry Changes Together". After a brief review of the development of Youfa Group over the past three years since its listing, Chairman Li Maojin stated that in the context of declining demand and overcapacity, the industry will accelerate its reshuffle. The sales radius of steel pipe products is getting smaller and the industrial layout is changing. During this process, China remains the world's largest market.
In the face of the new situation, he emphasized that enterprises should learn the "cement model" and seek blue ocean for traditional manufacturing. In this process, competitors need to change their thinking patterns, from competition to cooperation, from red ocean to blue ocean, to achieve a moderate and appropriate position, and complete new leaps and transformations in the industry. This requires enterprises to shift from "quantity cost profit" to "price cost profit", focus on "stabilizing prices" to determine production through sales, reducing costs and increasing efficiency, and transform from "managing factories" to "managing markets". By prioritizing quality, price, and service, they can construct the maximum profitable business plan.
For future development, he stated that Youfa Group will anchor its target of 30 million tons and accelerate the completion of national layout. At the same time, we will jointly lead peer enterprises to strengthen competition and collaboration, strengthen internal management, strive for excellence and innovation, and promote value innovation. In addition, Youfa Group will further explore the possibility of industrial internet development, firmly follow the path of market internationalization and management internationalization, build new advantages in the face of new tracks, and lead the industry's future.
Finally, the conference came to a successful conclusion with the singing of "Song of Friendship" by our partners.
Standing at a new starting point of being ranked among the top 500 Chinese enterprises for 18 consecutive years, with an annual production of steel pipes exceeding 20 million tons and 23 consecutive years of positive sales growth, Youfa Group will gather the strength of industry heroes, provide the most competitive products, provide the best "full package" policy package, create the most stable market channel in the industry chain, work together with partners to win the future, and forge ahead towards the dream of becoming the world's largest lion in the pipe industry, Strive tirelessly for China's steel industry to move towards becoming a steel powerhouse.
Post time: Dec-05-2023