Ministry of Environmental Protection responds to Schaeffler's letter of help: illegal sewage companies destroy the market

Recently, an emergency letter of assistance from a German auto parts company has caused extensive discussions on whether “environmental protection will affect economic development”. In response to the claim that Schaeffler Group Greater China claimed to be forced to suspend production due to environmental reasons and may cause losses of RMB 300 billion, the Environmental Impact Assessment Department of the Ministry of Environmental Protection (hereinafter referred to as “EIA”) Director Cui Shuhong responded that illegal polluters have destroyed the market competition order, and it has become the norm for the sewage companies to supervise according to law. All enterprises should adapt to this normal state and develop the habit of consciously abiding by environmental protection laws and regulations. Cui Shuhong said that contrary to the outside world's questioning, the data show that environmental protection inspectors have played a positive role in promoting economic restructuring and improving the quality of economic development.
Schaeffler supplier "does not change over time" On September 18th, an "Emergency Letter of Help" appeared on the Internet. Zhang Yilin, CEO of Schaeffler Group Greater China, issued an emergency help letter to the Shanghai Economic and Information Commission, the Pudong New Area Government and the Jiading District Government on September 14th, showing that its upstream steel wire cold-drawn external supplier Shanghai Jielong Metal Wire Drawing Co., Ltd. (hereinafter referred to as "Boundary Dragon") notified Schaeffler in writing on September 11, saying that due to environmental reasons, the People's Government of Chuansha New Town, Pudong New Area, Shanghai has implemented the Jielong since September 10. 'Decision of power cut off and dismantling related production equipment'. The emergency letter of help said that the out-of-stock needles will cause more than 200 models of 49 automakers to stop production and more than 3 million cars. The production is reduced and the output value loss is equivalent to 300 billion yuan. Therefore, the relevant government departments are allowed to continue to provide our company with a three-month cold-drawn steel wire service to ensure the supplier switching office without violating relevant environmental laws and regulations. The necessary preparation time." However, on September 18th, the Schaeffler Group's official Weibo announced that the group had already communicated with customers, governments, suppliers and other parties in the first time. Now it has mobilized global resources to properly handle it. Supply chain matters, the current impact on the production of the whole vehicle factory can be controlled. This inconsistent attitude has raised questions about the move of the Schaeffler Group's "Emergency Letter of Help". "In the past, there were some illegal sewage companies that drastically reduced the cost of environmental protection, and even did not invest in environmental protection. The bad money drove out good money, seriously undermining the market competition order and hindering the optimization and upgrading of the industrial structure." Cui Shuhong said. It is understood that Jielong is located at No. 266 Jielong Avenue, Chuansha New Town. The area is outside the planned industrial area and the “198 area” outside the planned construction area. The specific production process is pickling phosphating-heat treatment-drawing, 2016. With an annual output of 10,580 tons of steel wire, the output value of 78.4 million yuan. According to the Pudong Municipal Government and Pudong Environmental Protection and the official website of the Municipal Health Administration, as early as 2009, Jielong was included in the list of environmental protection supervision and management of key enterprises in Pudong New Area. In 2017, the list of key supervision enterprises in Pudong New District will be Listed as “focus on wastewater discharge enterprises”. Moreover, over the years, the company has been repeatedly supported by government financial funds for energy-saving renovation. In 2013, Pudong New Area's special fund for energy conservation and consumption reduction was 55,000 yuan. In 2014, Shanghai's coal-fired (heavy oil) boiler clean energy alternative special support fund supported 640,000 yuan. In 2014, Pudong New Area coal-fired boiler, kiln clean energy replaced the city, The district's two levels of financial subsidies totaled 2.464 million yuan. However, these key regulatory and financial support does not seem to be effective. Due to the lack of EIA approval procedures, during the Central Environmental Protection Inspector in December 2016, Jielong was listed as an “elimination and closure category” for environmental protection illegal construction projects. In December last year and March of this year, Chuansha New Town twice told enterprises to stop production. On September 4 this year, Chuansha New Town once again informed the enterprise to stop production immediately. If it does not cooperate, it will take “water cut and power cut”. Measures. At present, the company has stopped production and cut off the production power by itself. The Ministry of Environmental Protection issued an official microblog to express that in the face of the severe situation of air, water and soil pollution, large-scale governance has been launched in China, and strengthening environmental supervision is an irreversible trend. The real source of risk is not to strengthen supervision, but the industry chain has long ignored the issue of pollution. "We suggest that the major automobile brands should take the Schaeffler crisis as a lesson and start from the search and verification of the environmental compliance performance of the supply chain, and thoroughly analyze the environmental risks of the supply chain to effectively solve the industry. The pollution problem caused by the production process is towards a green development path of environmental protection, energy conservation and low carbon.” Cui Shuhong said that General Secretary Xi Jinping emphasized that human beings and nature are a symbiotic relationship, and the harm to nature will eventually hurt human beings. In the ecological environment protection, it is necessary to calculate a large account, calculate the long-term account, calculate the overall account, and calculate the consolidated account. "Strict environmental law enforcement has solved some environmental problems around the common people and improved the environmental quality. On the other hand, it has also promoted economic restructuring and accelerated the conversion of old and new kinetic energy. It has become the norm for the supervision of sewage companies, and all enterprises have It should be adapted to this normal state and develop the habit of consciously abiding by environmental protection regulations."
Environmental Inspectors Promote Sound Economic Development "We are not in favor of saying that environmental protection will affect economic and social development and lead to rising raw material prices." Cui Shuhong refuted this statement and gave data and case studies to prove that environmental protection inspectors promoted sound economic development. "In 15 provinces that carried out central environmental protection inspections this year, the added value of industrial enterprises above designated size increased by 0.95% year-on-year; the 16 provinces that did not carry out increased by 0.54% year-on-year. From January to August this year, cement production decreased by 0.5% year-on-year, crude steel, colored The output of metal, coke, flat glass and paperboard increased by 5.7%, 4.2%, 4.0%, 3.0% and 1.7% respectively. The output of major industrial products increased steadily. 15 provinces carrying out environmental supervision, crude steel and non-ferrous metals The output growth rate of coke, flat glass, papermaking, etc. is also higher than the national level." Cui Shuhong introduced. Official data also performed well. According to the National Bureau of Statistics, the value-added of industrial enterprises above designated size increased by 6.7% year-on-year from January to August, and the growth rate was 0.7 percentage points higher than the same period of the previous year. From January to August, the number of new jobs in urban areas was 9.74 million, an increase of 260,000 year-on- According to data from the Ministry of Human Resources and Social Security, the urban registered unemployment rate at the end of the second quarter of this year was 3.95%, a decrease of 0.02 percentage points from the previous quarter and a decrease of 0.1 percentage point year-on-year, the lowest level in recent years. Cui Shuhong emphasized that China's economic and social development has continued to maintain a stable and stable development trend. The change in product prices is mainly caused by the relationship between supply and demand, depending on the overall situation of current economic development and our resource endowment. And market demand and other aspects. "Some companies directly in the name of environmental protection, rendering environmental policy factors to increase product prices, this is a behavior that disrupts the market." Cui Shuhong said that environmental inspectors did not affect the output of major industrial products, nor did it promote product prices. direct cause. Cui Shuhong said that both Xingtai in Hebei and Jining in Shandong have promoted economic restructuring, transformation and benign development through environmental supervision. “Xingtai has carried out unified demolition of 1 397 plate enterprises without pollution control facilities and serious environmental pollution in the city, not only to achieve 'two breaks and three clears', but also to carry out unified demolition of the plant; at the same time as the demolition of the plant, an international plan was planned. The first-class emerging industrial parks, on the one hand, introduce internationally advanced high-end enterprises into the park, and on the other hand, guide the banned enterprises to re-create modern and environmentally-friendly sheet enterprises by improving the process, upgrading the files, integrating and relocating and re-entering the park." Cui Shuhong introduced his understanding of the implementation of the spirit of the speech by the Minister of Environmental Protection, Li Ganjie, at the symposium on the comprehensive action plan for air pollution prevention and control in the winter of 2017~2018. According to Cui Shuhong, in the first half of this year, the concentration of PM2.5 in Xingtai was 89 μg/m3, which was lower than the provincial average of 5.2%, and the improvement rate ranked third in Hebei Province. According to the statistics of Xingtai City Statistics Bureau, from January to August, the added value of industrial enterprises above designated size increased by 7%, which was higher than the growth rate of industrial enterprises above designated size by 3 percentage points, and the growth rate ranked first in the province. According to Cui Shuhong, the growth rate of all fiscal revenue, public finance revenue and budget revenue of Xingtai City ranked second in the province. "Xingtai's example shows that as long as the method is right, using environmental protection to accelerate the transformation of old and new kinetic energy can achieve a win-win situation at the same time." As a heavy industrial city in Shandong Jining, there are 10.25 million kilowatts of thermal power installed capacity, an average annual coal mining capacity of 80 million tons, annual consumption Nearly 50 million tons of coal, as well as steel, coking, coal chemical and other industries. “Through the refined management of sewage disposal enterprises, Jining City has achieved good results in air pollution control. The concentration of PM2.5 from January to August this year was 55 μg/m3, down 22.5% year-on-year. Both of these indicators are at 2+26. In the forefront of the city." Cui Shuhong said that while environmental protection is being carried out, Jining's economy is running well. From January to July, the income of the main business of industrial enterprises above designated size increased by 13.76%, which was 0.66 percentage points higher than the provincial average growth rate, and the profit growth was 41.2. %, higher than the province's 28.9 percentage points, achieving a profit and tax increase of 34.82%, 23.7 percentage points higher than the province. "Intensify environmental protection, force out the bad money, purify the market environment, promote economic restructuring, improve the quality of economic development, and protect the rights and interests of the broad masses of the people. This is the proper meaning of environmental protection inspectors." Cui Shuhong said. The case of Xingtai and Jining made him very confident, and other places should be able to do it.

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