In 2024, ferrous scrap enterprises sharply increased exports of strategic raw materials for steelmaking companies by 60.6% compared to 2023, to 293.1 thousand tons (in 2023, exports amounted to 182.5 thousand tons, in 2022 – 53.6 thousand tons).
According to the Ukrainian Association of Secondary Metals (UAVtormet), scrap collectors increased scrap supplies to Ukrainian steelmakers by 29.8% year-on-year last year to 1.343 million tons.
The technological reserves of ferrous scrap at the enterprises were estimated at 40-50 thousand tons at the end of the year. At the same time, the estimated technological needs of metallurgists for this raw material, according to the Association, are fully met, with an excess of 3.5-5.2%.
Last year, the volume of ferrous scrap procurement increased by 37% to 1.749 million tons. According to UAVtormet, this trend was driven by an increase in steel production at metallurgical and foundry enterprises with a corresponding increase in scrap consumption, as well as the export capabilities of Ukrainian procurement companies during the reporting year.
Scrap imports amounted to 1.2 thousand tons in 2024 and 1.1 thousand tons in 2023.
It is also stated that steel production last year amounted to 7.575 million tons, which is 21.6% more than the previous year.
According to the forecast, Ukraine will produce 6.5-6.8 million tons of steel in 2025 (6.228 million tons were produced in 2023, 6.263 million tons in 2022), and will procure 1.450-1.650 million tons of scrap metal (1 million 277.3 thousand tons in 2023, 996.7 thousand tons in 2022). Steelmakers are also expected to consume 1.1-1.2 million tons of scrap (1 million 34.7 thousand tons in 2023 and 895.7 thousand tons in 2022), export 300-350 thousand tons of scrap (182.5 thousand tons in 2023 and 53.6 thousand tons in 2022), increasing the export of strategic raw materials for steelmakers. Scrap imports are expected to reach 1.5-3 thousand tons.
Earlier, Ukrmetallurgprom President Oleksandr Kalenkov stated in a column on theInterfax-Ukraine website that scrap metal is exported through the European Union, which has a preferential export duty of EUR3 per ton, and from there the raw materials are redirected to real customers. He pointed out that exporting raw materials directly to customers would cost EUR180 in export duties, and the Ukrainian budget has already lost UAH 350 million.
The head of Ukrmetallurgprom called for a temporary ban on the export of ferrous scrap to provide steelmakers with strategically important raw materials during the war. He also clarified that a ton of scrap metal processed into steel brings in ten times the amount of export duties to the EU – up to $300 per ton.
