Hunan Valin Xiangtan Iron And Steel Co.Ltd.Import And Export Trade Financing Strategy Optimization

The central economic work conference made overall arrangements for the economic work,and urged to continue to promote the five tasks of "three go,one drop and one subsidy".The steel market in the increasingly grim situation and gradually become the national monetary policy tightening pressure,business strategy Chinese steel enterprises gradually turned to overseas market,international trade has become an important part of trade in iron and steel enterprises.Iron and steel enterprises face enormous trade demand and capital requirements at the export end,bringing about the financing needs of import and export trade.At the same time,at the import end,iron and steel enterprises,as companies with huge import volumes and large foreign exchange expenditures,are facing not much pressure from foreign exchange funds and trade finance under the deteriorating international economic environment.The steel industry is already sluggish industry overcapacity more capital management and financing operation must fully grasp and use of trade financing strategy,low cost financing business development of all-round,multi-channel,in order to maintain market share.In this paper,Valin Xiangtan iron and Steel Co.(hereinafter referred to as the"company")as the research object,analysis of the current new situation,how to optimize the iron and steel enterprises import and export trade financing strategy.In this paper,through analyzing the domestic and foreign trade financing related theory and literature,through the method of comparative analysis and induction,the Xiangtan operation of the current situation and the financing way of comparative analysis,including enterprise financing,settlement,financial transactions,on the macro monetary policy tightening and pressure against the steel market situation,to find new financing channels and financing mode,and realize diversified financing,provide targeted strategy to further optimize the financing plan.This paper found that:on the one hand,the existence of large-scale lending Valin Xiangtan,high financial costs,fund payment pressure,especially the import of raw materials funds greater pressure,there is a huge gap of foreign exchange funds.On the other hand,the steel industry is a capital intensive Valin Xiangtan Iron and steel industry,occupy a large amount of bank credit funds and industry profit rate is low,affected by the international situation including the exchange rate movements of the import and export trade,the impact of macro-control policies of the state on the same large.This paper argues that:the capital Hunan Valin Steel Corp should be improved from two aspects in the import and export trade financing.The first is in the direction of financing,company should open the multi gapand explore extent in other foreign currency financing credit guarantee institutions.The second is in the way of financing,should try to use scientific financial derivative products,in order to expand import and export financing needs.Overall,the international trade financing problems such as the research of enterprises,to Valin Xiangtan Steel as a case,according to the current problems and put forward the corresponding countermeasures,has certain theoretical significance and practical guidance.The research content and conclusion of this paper also have certain reference value for the choice and optimization of trade financing mode of the same industry enterprises.