As time progresses, new chapters unfold. Looking back at 2023, it marked the beginning of fully implementing the spirit of the 19th National Congress of the Communist Party of China and served as a year of economic recovery and development following the transition stage of the three-year fight against the COVID-19 pandemic. China's economy is steadfastly advancing towards high-quality development. In this year, despite complex situations and demanding tasks, the steel industry diligently implemented the decisions and arrangements of the Party Central Committee, adhered to the general principle of seeking progress while maintaining stability, comprehensively and accurately implemented the new development philosophy, focused on the development direction of high-end, intelligent, and green transformation, continuously driving progress in new industrialization.

Acceleration towards high-end development was evident. Promoting the optimization of industrial structure and the upgrading of products to the high-end spectrum is an important path for the steel industry to achieve high-quality development. Addressing market demands, in 2023, the steel industry witnessed a continuous increase in the supply capacity of high-end steel products for sectors like shipbuilding, automotive, home appliances, as well as emerging industries like wind power and photovoltaics. Looking at domestic supply, there was a significant year-on-year increase in the production of electrical steel, hot-rolled thin plates, and cold-rolled steel strips. In terms of exports, there was noticeable growth in hot-rolled coils and medium-thick plates, stable growth in galvanized sheets, and a significant increase in the export volume of high-end products. The steel industry, oriented towards national strategic needs and the development of advanced manufacturing, continued to focus on strategic and critical core materials in aviation, aerospace, nuclear power, new energy, and other sectors. Key technological innovations continued to emerge, further solidifying the industry's high-end industrial chain and supply chain levels. Anshan Iron and Steel Group launched the world's first 33mm thick X80-grade large-strain pipeline steel plate, Xingang Steel successfully rolled the world's thinnest high-grade non-oriented electrical steel, Shougang Steel globally launched two oriented electrical steel products, and Hebei Iron and Steel Group domestically substituted the highest-strength grade high-titanium alloy welding wire steel. The steel industry persisted in advancing towards high-end industrial improvement, fostering new strengths in high-quality development.

Continuous efforts were made in intelligence transformation. The Ministry of Industry and Information Technology issued the 'Guidelines for the Construction of Intelligent Manufacturing Standard System for the Steel Industry,' setting the direction for the development of domestic standards in the field of intelligent manufacturing in the steel industry for the next two years. The outcomes of the 'Intelligent Manufacturing Standards Enter Steel Enterprises' series of activities were fruitful. In the field of intelligent manufacturing, there were advancements in standards. A total of 111 group standards and 11 industry standards were planned, with 54 standards already released. The world's first international standard in the field of intelligent manufacturing in the steel industry, the 'Guidelines for Intelligent Manufacturing in the Steel Industry,' was successfully launched in the ISO, achieving the first breakthrough from domestic standards to international standards. Twelve steel companies were awarded the Ministry of Industry and Information Technology's 2023 Intelligent Manufacturing Demonstration Factory accolade, increasing the number of steel companies as demonstration factories to 31. The 'Collection of Excellent Cases in the Steel Industry's Intelligent Manufacturing' was officially released, providing the industry with a pool of exemplary cases for reference. The steel industry continued to inject new energy through the use of digital technologies and other advanced and applicable technologies. The index of integration of informatization and industrialization rose to 59.9, with a numerical control rate of key processes reaching 70.1%, and the digitalization rate of production equipment reaching 51.3%.

Comprehensive promotion of green initiatives continued. Embracing the theme and direction of green and low-carbon transformation, the steel industry made positive progress towards 'green' advancement. Insisting on innovation, the steel industry continued to promote the application of green and low-carbon innovative technologies. Baosteel's 2,500 cubic meter blast furnace hydrogen-rich carbon circulation technology commercial demonstration project was fully operational, HBIS's global 1.2 million-ton hydrogen metallurgy demonstration project's Phase I was successfully completed, and the first set of converters for smoke gas explosion-proof medium and low-temperature waste heat recovery projects were under successful trial production at Jianlong Xigang. Continuing the progress towards ultra-low emissions, as of December 23rd, 114 steel companies (including one pellet plant) have completed or partially completed ultra-low emission transformations and evaluations. Supporting enterprises that have completed ultra-low emission transformations to synergistically develop associated industries, establishing a collaborative pollution reduction and carbon reduction alliance; actively conducting ultimate energy efficiency transformation projects, accelerating the promotion and application of energy-saving and efficiency-increasing technologies and equipment. Two batches of 58 enterprises have participated in the cultivation work of the Double Carbon Best Practice Energy Efficiency Benchmarking Demonstration Plant; solidly promoting the foundation work for green transformation development, perfecting the Steel Industry Environmental Product Declaration (EPD) platform, accumulating and disclosing industry environmental data effectively, actively promoting international mutual recognition, and accelerating the research progress of low-carbon emission steel standards, playing a role in the global green development process of the steel industry.

2024 is a crucial year for implementing the spirit of the 19th National Congress of the Communist Party of China and achieving the comprehensive implementation of the tasks outlined in the 14th Five-Year Plan. Despite the temporary difficulties faced by the industry, the steel industry's pivotal position in the national economy remains unchanged, still being the mainstay and cornerstone of the real economy. The long-term positive trend of China's economy remains unchanged, possessing enormous development resilience and potential. The steel industry still has great potential for development.

In 2024, we will continue to adhere to Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, comprehensively implement the spirit of the 19th National Congress of the Communist Party of China and the deployment of the Central Economic Work Conference, focusing on the effective implementation of the 'Steel Industry Stable Growth Work Plan' and key tasks, adhering to the principle of seeking progress while maintaining stability, promoting progress, and focusing on breakthroughs. We will take full advantage of the favorable conditions of having superior systems, policy space, market potential, industrial foundation, investment direction, and targeted reforms. We will deeply advance the '1231' industry work focus and '232' key work advancement system, consolidating strengths, overcoming weaknesses, and enhancing continuous industry economic operations, continuous improvement of quality and efficiency, continuous resolution of risks and hazards, and continuous enhancement of endogenous dynamics, solidly promoting the achievement of new results in high-quality development.