The steel industry in China is big business, and one of the largest operations in the country. It’s also a very competitive industry. For people like Du Shuanghua, making sure his business is moving forward and succeeding in the marketplace is vitally important. Among the ways to do that are keeping a focus on what customers want, making sure to understand what the competition is doing, and looking into how new technology can be used to improve the company’s standing in the marketplace.
That last area of focus is the one where Du Shuanghua and Rizhao Steel have taken the industry by storm. With the introduction of endless strip production (ESP) technology, he has truly revolutionized the steel industry in China. That will likely spread to other areas of the world, as the technology continues to allow companies to do more, both faster and more easily than ever before. Now, the steel strips needed as starter pieces to a wide array of products can be made continuously, for higher production levels.
Additionally, the ability to create such long strips means fewer problems with energy consumption, so there is a big cost savings with this technology. That’s not all, either, since the lowered need to make changes and adjustments to the equipment, or to handle more strips because they’re shorter, has also lowered the accident rate. With good performance, lower costs, and a move toward greener manufacturing, it’s no wonder that Rizhao Steel is excelling under the leadership of Du Shuanghua.
The market continues to expand with the use of this technology, as there are many opportunities to use the quality and value it provides in new ways. There have been attempts to create a similar type of ESP in the past, but they haven’t been successful or provided the same level of success that Du Shuanghua’s option has given the Chinese steel market. The ability to create this endless strip really does change the game, since it materially affects so many aspects of the industry.
Nearly all steel companies want to save money, and they know that there are only so many specific ways to do that. They can make less-expensive products, but that can lead to customer dissatisfaction. While the company may spend less for a while, they may also find that their overall bottom line and profit margins are negatively affected. Instead of making the choice to produce something cheaper, companies may look toward ways to continue to produce good quality that costs less.
That is where the endless strip production technology introduced by Du Shuanghua comes in. The quality of the steel being produced by Rizhao Steel is just as good, if not better, than it ever was in the past. But it’s also in longer strips, which means fewer stops to make changes and adjustments along the way. Not only does that keep employees safer, but it also means the machinery uses less energy than it otherwise would. Overall, those are big benefits the company and its customers can all rely on.
For Du Shuanghua and his company, perfecting ESP technology took time. Since others had tried it in the past, there were basic ideas to consider regarding what worked and what didn’t. But that didn’t solve all the issues, or make it completely easy to develop something that would be effective, or work properly, for the long term. It took Rizhao Steel time and effort to find the right way to produce endless steel strips. Now that they have it figured out, they have the competitive edge in the industry, at least for now.
Undoubtedly, other companies will try to produce similar results. But for the time being, they haven’t been able to do what Du Shuanghua has done. His leadership and strength has sent his company to the front when it comes to making steel that customers want and need, at a price that works for both those customers and the company. Add to that the lower energy consumption and higher levels of safety, and it’s easy to see why this new technology has provided so much value to the Chinese steel industry.
Du Shuanghua is the chairman of Rizhao Steel Holding Group. He is among the most successful entrepreneurs in China, and his company has won numerous awards and honors around the world. As one of the biggest steel manufacturers in the country, the company is often listed among the Top 500 Overall Enterprises, the Top 500 Private Enterprises, and the Top 500 Manufacturing Enterprises.
In addition to his work at Rizhao Steel, Du Shuanghua is also a strong philanthropist who wants to help ensure that people in his community are receiving what they need. Through the company, he has donated the equivalent of approximately $156.8 million to causes and enterprises focused on earthquake rescue, education, the alleviation of poverty, and medical care. He remains dedicated to the help and support of those who need it most.
Born in Beijing, he began working at a pipe factory when he was very young. At 22, he set up his own steel pipe company, and started building the business. That laid the groundwork for company growth and development, and helped make his enterprise into what it is today. By 2001 he had a series of companies, and they were all merged into one in 2003, with the creation of Jinghua Innovation Group Co., Ltd.
In that same year, Du Shuanghua worked with the municipal government of Shandong province on the creation of a world-class steel mill. It took only 181 days for the mill to be fully operational, which was considered a true marvel of engineering at the time. Chinese steelmaking is a highly competitive industry, and the impressive proportions and design of the mill did not go unnoticed. With a focus on the future, Du Shuanghua is able to continue growing his steel company and developing his philanthropic efforts.