Business news from Ukraine

Business news from Ukraine

Ukrainian steelmakers reduce steel production 6.5 times

Metallurgical enterprises in Ukraine in January this year reduced steel production 6.5 times compared to the same period in 2022 – to 284 thousand tons from 1.851 in January-2022, but increased smelting compared to December-2022, when 106 thousand tons were smelted.
As a result, Ukraine took 34th place in the ranking of 64 major global producers of these products, compiled by the Worldsteel Association (Worldsteel), while in December it was 38th.
According to Worldsteel, in January-2023 there was a decline in steelmaking against January-2022 in most of the top ten countries, except China and Iran.
The top ten steel-producing countries in January are as follows: China (79.450 million tons, up 2.3% over January-2022), India (10.930 million tons, down 0.2%), Japan (7.222 million tons, down 6.9%), USA (6.497 million tons, down 6.8%), Russia (5.750 million tons, down 8.9%), South Korea (5.477 million tons, minus 9.8%), Germany (2.925 million tons, minus 10.2%), Brazil (2.783 million tons, minus 4.9%), Iran (2.7 million tons, up 27.7%) and Turkey (2.605 million tons, down 17.6%).
Overall, global steelmaking fell 3.3% to 145.252 million tons in January 2023 from the same period in 2022, compared to a 10.8% decline in December 2022, with an absolute figure of 140.695 million tons.
The country produced 313 thousand tons of steel in November 2022, 318 thousand tons in October, 340 thousand tons in September, 366 thousand tons in August, 281 thousand tons in July, 295 thousand tons in June, 308 thousand tons in May, 281 thousand tons in April, 200 thousand tons in March, 1.374 million tons in February and 1.851 million tons in January.
As reported, metallurgical enterprises in Ukraine reduced steel production in December last year by 16.4 times, or 93.9%, compared to the same period in 2021 – up to 106 thousand tons.
For the 12 months of 2022, the top ten steel producing countries were as follows: China (1.013 billion tons, down 2.1%), India (124.720 million tons, up 5.5%), Japan (89.235 million tons, down 7.4%), USA (80.715 million tons, “minus” 5.9%), Russia (71.5 million tons, down 7.2%), South Korea (65.865 mt, minus 6.5%), Germany (36.849 mt, minus 8.4%), Turkey (35.134 mt, down 12.9%), Brazil (33.972 mt, down 5.8%) and Iran (30.593 mt, up 8%).
Ukraine in 12 months of 2022 was in 23rd place with the melting of 6.263 million tons of steel (“minus” 70.7%).
In total, 64 countries produced 1 billion 831.467 million tons of steel in 2022, which is 4.3% less than in 2021.

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Spanish Prime Minister arrives in Kiev

Spanish Prime Minister Pedro Sanchez will arrive in Ukraine by Thursday morning train, the Spanish publication OK diario reported.
“This will be Sanchez’s second trip to Ukraine. He has already been to the country last April. The travel plan, as confirmed by OK diario sources close to the prime minister, is very similar to the one he used then. The president and his team will fly from Madrid to the Polish city of Rzeszow on board an official plane… Once on Polish soil, the government delegation will travel by land to the Ukrainian border. Pedro Sanchez and his accompanying team are expected to board an overnight train early at night, which will take them to the capital, where they will arrive shortly before 8 a.m.,” the report said.
The publication notes that plans for the trip were denied until recently.
In Kiev, Sanchez is expected to meet with Ukrainian President Vladimir Zelensky. “It is not yet known whether he will make any statement during the president’s stay in Ukraine about Spain’s bilateral support for Zelensky, as he did several months ago and as they did on each of his visits by other international leaders who met with Zelensky at the Ukrainian president’s headquarters,” the report notes.
As reported, Spanish Defense Minister Margarita Robles confirmed that at least six German-made Leopard tanks will be sent to Ukraine from Spain in early April this year.

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Venice’s canals are drying up, gondolas can’t move around city

Venice, traditionally plagued by floods, has faced low water levels in its canals, so gondolas cannot move around the city, The Guardian newspaper reported.
“Weeks of dry winter weather have raised fears that Italy will face a serious drought again this year. In the Alps, for example, less than half of the winter rainfall has fallen, and in Venice gondolas cannot navigate some of the city’s famous canals because the water level has dropped too low,” the newspaper writes.
As the newspaper notes, the problems of Venice are caused by several factors – lack of rain, high pressure, sea currents and others.
Meanwhile, the drought affects not only the canals of Venice: the rivers and lakes in the north of the country are also acutely short of water.
According to environmentalists Legambiente, the water level in Italy’s largest river Po decreased by 61% compared to normal values for this time of year.
According to climatologist Massimiliano Paschi of the Italian research institute CNR, 500 mm of water needs to be restored in northwestern Italy, which is equivalent to 50 days of heavy rain.
In the summer of 2022, Europe was hit hard by the worst drought in 70 years. Some rivers and lakes dried up in the countries. In Italy and France, residents’ consumption of fresh water was limited.

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Former Infrastructure Minister and his first deputy from Poroshenko’s time notified on suspicion of causing $30 million losses to Ukraine

Ukraine’s former infrastructure minister and his former first deputy have been notified on suspicion of abuse of power and office, causing more than $30 million in losses to the state, the Special Anti-Corruption Prosecutor’s Office has said.
“On February 22, 2023, under the procedural guidance of the SAP prosecutor, NABU detectives reported on suspicion of abuse of power and office, causing the state more than $30 million of damage to the former Minister of Infrastructure of Ukraine and his former first deputy. Actions of the ex-officials are qualified according to the signs of the crime stipulated by part 2 of article 364 of the Criminal Code of Ukraine”, – said in the message of the SAP in Telegram-channel on Wednesday.
Given that the location of the former first deputy minister is not established, the suspicion of him was informed in absentia – in the order determined by article 135, article 278 of the Criminal Procedural Code of Ukraine.
According to the materials of the investigation, in 2015, the minister together with his deputy, who was also the chairman of the Tariff Council of the Ministry of Infrastructure, issued an order that allowed private companies to charge half the rate of ship fees from ships in the seaport “Pivdenniy”. This order was issued despite the fact that the water area of this port is state property and is used by the AMPU and the right to the meeting belongs exclusively to the state enterprise.
Under this order, the state enterprise was assigned only part of the funds, while the other part was charged by private companies. As a result, the state suffered more than $30 million of damage, which is confirmed by the corresponding conclusions of the expertise.
Pre-trial investigation into the case continues, other persons who may be involved in the commission of this crime are being detected.
The SAP report does not specify the names of the suspects.
In 2015, the Minister of Infrastructure was Andriy Pyvovarskyy, his first deputy – Volodymyr Shulmeister.

New strain of coronavirus detected in several regions of Ukraine

A variant of the Kraken coronavirus strain has already been detected in four regions: Sumy, Zakarpattia, Odessa and Ternopil.
According to the Public Health Center (PHC) of the Ministry of Health, this week the reference laboratory for the diagnosis of HIV/AIDS, viral and especially dangerous pathogens, based on the results of sequencing, confirmed the mutation of the variant Omicron XBB.1.5 of coronavirus SARS-CoV-2 in three more regions: Transcarpathian, Odessa and Ternopol regions, previously “Kraken” was recorded in the Sumy region.
“This development of the event was predictable. Omicron itself, although more easily tolerated, is capable of being transmitted faster. This additionally burdens the medical system,” noted the head of the CDC surveillance department, Oksana Koshalko, whose words are cited in the press release.
As reported, in late January the first case of infection with a new sublineage of coronavirus variant SARS-CoV-2 Omicron XBB.1.5, or “Kraken” was recorded in Ukraine. The case was recorded in Sumy region in a person who had not been vaccinated against the coronavirus.

“Vodafone Ukraine” paid $12.4 million in interest on Eurobonds

Mobile operator Vodafone Ukraine, part of NEQSOL Holding (Azerbaijan), has completed regular interest payments on its $12.4 million Eurobonds.
“Despite difficult operational and financial conditions related to the war, the company continues to service its debt in full,” the operator said in a press release Wednesday.
According to the release, the principal amount of the Eurobond debt is now $400 million, as the company has already repurchased and redeemed $100 million in bonds ahead of schedule.
As reported, in early February 2020, Vodafone Ukraine placed five-year $500 million Eurobonds at 6.2%. The 144A/Reg S issue was marketed to international investors in Europe and the US. The coupon on the eurobonds is paid semi-annually.

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