China will invest 12.9 billion yuan ($1.9 billion) in the country’s largest memory chip maker Yangtze Memory Technologies Co. (YMTC).
The funds will be provided to the company through The National Integrated Circuit Industry Investment Fund Ltd. investment fund, according to a government website.
It could mark a resumption of state capital flows into the industry, which is subject to U.S. sanctions, Bloomberg said.
Representatives of YMTC and the fund did not respond to the agency’s inquiries.
The Wuhan-based company is China’s largest maker of 3D NAND flash memory chips used in smartphones and other electronic devices. Last year, YMTC, along with more than 30 other Chinese companies, was blacklisted by U.S. authorities. U.S. technology companies cannot supply components to Chinese organizations on this list without obtaining a special export license from the U.S. Department of Commerce.
Zaporizhstal steelmaker Zaporizhstal in January-February of this year decreased the shipment of rolled steel by 65.3% compared to the same period last year – down to 174.2 thousand tons.
According to the company information, steel output fell by 67.4% to 209.2 thousand tons during this period, and pig iron output dropped by 61.5% to 291.6 thousand tons.
In February 2023, Zaporizhstal produced 125.2 thousand tons of cast iron, 119.4 thousand tons of steel, shipped 99.6 thousand tons of rolled steel.
“The decrease in production level compared to the same period last year is due to the shortage of raw materials and logistical problems caused by full-scale military actions on the territory of Ukraine. In addition, due to the massive rocket attacks on the energy infrastructure and, as a consequence, the resulting shortage of capacity in the energy system, the plant has reduced production, thus reducing the consumption of purchased electricity,” the press release explains.
As we informed, in January-2023, the iron and steel plant reduced the shipment of rolled products by 74% compared to the same period last year, to 73 thousand tons, steel output declined by 72.7% to 89.9 thousand tons, iron – by 58.5%, to 166.4 thousand tons.
In December 2022, the company produced 142.1 thousand tons of iron, 70.8 thousand tons of steel, and shipped 56.7 thousand tons of rolled products.
“Zaporizhstal” in 2022 reduced the output of rolled steel by 60.4% compared to 2021 – to 1 million 304.3 thousand tons, steel by 61.7% – to 1 million 491.3 thousand tons, cast iron – by 54.3%, to 2 million 9.9 thousand tons.
“Zaporizhstal” is one of the biggest industrial enterprises in Ukraine, which products are in great demand among the consumers on the internal market and in many countries of the world. The plant specializes in high-quality steel coils, hot-rolled plates, cold-rolled plates, cold-rolled coils from carbon and low-alloyed steels, as well as steel straps, tin plates, formed sections.
Main consumers are producers of welded pipes, enterprises of automotive, transport, agricultural engineering, producers of household appliances.
“Zaporizhstal is in the process of integration into Metinvest Group the main shareholders of which are CJSC “System Capital Management” (71.24%) and Smart Holding group of companies (23.76%).
Metinvest Holding LLC is the management company of Metinvest Group.
The commission for the competition for the position of director of the National Anti-Corruption Bureau of Ukraine (NABU) will determine three finalists for the selection on March 4.
“On March 4, 2023, a meeting of the commission on holding a competition for the position of director of the National Anti-Corruption Bureau … The meeting will consider the determination of three selected candidates,” reads the announcement on the government website.
Four dry-cargo ships with more than 250,000 tons of food left Ukrainian ports on Wednesday, the Joint Coordination Center (JCC) reports.
According to JCC the Laskaro S vessel will deliver 62 088 tons of corn to Belgium, the Astra Perseus dry-cargo carrier will carry 55 thousand tons of corn to Spain. Vessel Geneve is going to Turkey with 32 thousand tons of wheat and 33 thousand tons of barley. Andonis dry-cargo carrier set a course for China, carrying 48 502 tons of corn and 18.7 thousand tons of sunflower meal.
It is noted that four more dry-cargo ships are heading for the ports of Ukraine.
“The total tonnage of grain and other agricultural products exported from the three Ukrainian ports is 22,747,287 tons. The total number of agreed ship movements is 1,543,” the report said.
SKC reported that “100 applications for participation in the initiative have been submitted.”
The Business Activity Expectations Index (BAEI), calculated by the National Bank of Ukraine (NBU), rose to 45 in February from 37.5 in January (index values from 0 to 100) and continued to remain below the neutral level (50), according to a survey of enterprises published by the NBU on Wednesday.
“In February 2023, the BAEI was 45.0, up from 37.5 in January 2023. In February, companies significantly softened their negative expectations for their economic performance. Economic activity is gradually reviving across all sectors, apart from the construction sector,” the central bank said, commenting on the results of the index.
As the National Bank said, the revival of companies is being held back the most by power shortages, higher production costs because of purchases of uninterruptible power supplies and fuel, and depressed consumer demand.
The NBU said that companies markedly improved their views about their trade turnover, purchases of goods for sale, and inventories/stocks of goods for sale.
In addition, respondents remained downbeat about their total staff numbers, the DI being 43.2, down from 44.5 in January.
At the same time, expectations of both growth in purchase prices and the cost of contractors’ services, as well as prices/tariffs for own products/services, softened.
The National Bank said that the gradual revival of power supply and purchases of uninterruptible power supplies softened the pessimistic expectations of industrial companies in February, as the sector’s DI moved to 47.2, up from 40.6 in January 2023.
“Respondents declared intentions to step up production (for the first time since October 2022), while also expecting an increase in the number of new export orders for products (for the first time since February 2022), the DIs being 50.7 and 50.4 respectively, up from 34.0 and 39.6 in January. While remaining negative, respondents’ expectations for the number of new orders for products improved noticeably, the DI being 48.6, up from 38.0 in January,” the NBU said, describing the situation in the industry.
Respondents markedly improved their views about their trade turnover and the amount of goods purchased for sale, the DIs being 47.4 and 46.8 respectively, compared to 21.6 and 23.7 in January.
“Respondents expected a decrease in their inventories/stocks of goods for sale, the DI being 51.1, down from 61.9 in January. Companies reported weaker intentions to cut their trade margins, the DI being 46.3, up from 39.2 in January. Respondents slightly softened their expectations of a rise in purchase prices, the DI being 30.0, up from 24.7 in January. At the same time, companies expected the price of goods purchased for sale to rise at a faster pace, the DI being 61.1, up from 54.6 in January,” the NBU added.
Services companies continued to report a gloomy economic outlook, the DI being 43.2 in February, up from 37.2 in January. Respondents significantly softened their negative expectations for the amount of services provided, the number of new orders, and the amount of services that are being provided, the DIs being 43.8, 42.6 and 46.9 respectively, compared to 35.2, 34.4 and 38.8 in January.
“With less strong expectations of a rise in purchase prices, companies reported weaker intentions to raise their selling prices, the DIs being 23.8 and 58.6 respectively, compared to 18.4 and 60.4 in January,” the regulator said.
Construction companies reported the most guarded views about their economic performance on the back of seasonal factor, consumers’ weak purchasing power and power shortages, the DI being 33.5 in February, down from 34.5 in January. Companies worsened their negative expectations of the amount of construction work done, the DI being 28.6, down from 30.0 in January. At the same time, respondents expected a drop in the number of new orders and in purchases of raw materials and supplies, the DIs being 28.6 and 31.0 respectively, compared to 27.5 and 25.0 in January.
Oil continues to rise in price weakly on Thursday, after it rose in previous trading on fuel inventories data in the U.S.
The market is also supported by Russia’s plans to reduce oil production and exports, according to Trading Economics.
Brent crude futures on London’s ICE Futures Exchange rose $0.1 (0.12%) to $84.41 a barrel by 7:01 a.m. on May. On Wednesday those contracts grew by $0.86 (1%) to $84.31 per barrel.
WTI April futures price grew by $0.08 (0.10%) to $77.77 per barrel at electronic auctions of New York Mercantile Exchange (NYMEX) in the morning. According to results of previous trades the cost of contracts grew by $0.64 (0.8%) to $77.69.
Commercial oil inventories in the U.S. rose 1.17 million barrels last week to 480.21 million barrels, the Energy Department said Wednesday. Experts on average had expected an increase of 1.9 million barrels.
Stocks at the terminal in Cushing, which stores oil traded on the NYMEX, increased last week by 300,000 barrels.
Gasoline stocks declined by 874,000 barrels and distillates stocks increased by 179,000 barrels. Analysts forecasted a decrease in gasoline reserves by 1 million barrels and distillates by 500 thousand barrels.
