According to preliminary data, Ukrainian metallurgical companies reduced steel production in January-February of this year by 13.2% compared to the same period last year, to 1.026 million tons.
According to information from the Ukrmetallurgprom association on Monday evening, 515,000 tons of steel were produced in February, compared to 511,100 tons in the previous month.
As reported, Ukrainian steel companies reduced steel production by 2.2% in 2025 compared to 2024, to 7.409 million tons.
In 2024, Ukraine increased steel production by 21.6% compared to 2023, to 7.575 million tons.
In 2023, Ukraine reduced steel production by 0.6% compared to 2022, to 6.228 million tons.
In 2022, the country reduced steel production by 70.7% compared to 2021, to 6.263 million tons.
In pre-war 2021, 21.366 million tons of steel were produced, which was 103.6% of the 2020 level.
In 2025, the Metinvest mining and metallurgical group reduced steel production by 4% compared to the previous year, to 2.018 million tons. The decline was due to the large-scale war, reduced electricity supply, as well as logistical and economic factors.
According to the group’s annual report, the parent company Metinvest B.V. reported that based on the results of operating activities for Q4 2025 and for the year as a whole, in Q4, pig iron production at Kametstal remained at the level of the previous quarter and amounted to 496,000 tons, while steel production increased by 3% to 564 thousand tons.
At the same time, it is noted that in 2025, pig iron and steel production decreased by 2% and 4%, respectively, compared to the previous year and amounted to 1.782 million tons and 2.018 million tons. The slight decrease was due to the overhaul of blast furnace No. 9 at Kametstal in April-June 2025.
It is also noted that in Q4 2025, the volume of commercial semi-finished products remained almost at the level of the previous quarter and amounted to 271 thousand tons. At the same time, commercial pig iron production decreased by 41% due to increased consumption in subsequent stages, which led to an 8% increase in the output of commercial billets.
In 2025, the output of semi-finished products decreased by 3% compared to the previous year, to 839 thousand tons, due to a decline in steel production and an increase in domestic consumption of billets in subsequent stages of production. At the same time, the output of commercial cast iron doubled and amounted to 84 thousand tons.
In Q4 2025, finished product output grew by 4% compared to the previous quarter and amounted to 613 thousand tons, due to scheduled overhauls at rolling mills in Italy and Bulgaria in August. In particular, flat steel production grew by 10% to 291,000 tons, while long steel production remained almost unchanged at 322,000 tons.
In 2025, finished product output grew by 13% compared to 2024, reaching 2.429 million tons. In particular, flat steel production increased by 20% to 1.107 million tonnes thanks to the resumption of hot-rolled coil production at Ferriera Valsider (Italy) and the efficient operation of Metinvest Trametal (Italy) and Spartan UK (Great Britain). Long product production increased by 7% to 1.322 million tonnes due to increased volumes at Kametstal and the stable performance of Promet Steel (Bulgaria).
In Q4 2025, coke production decreased by 3% compared to the previous quarter to 279 thousand tonnes. Overall, coke production declined by 2% over the past year to 1.100 million tons compared to the previous year due to the decommissioning of coke oven battery No. 1 at Kametstal. This was partially offset by a 23% increase in coke production at Zaporizhzhya Coke Plant to 898,000 tons.
It is also reported that in Q4 2025, total iron ore concentrate production remained almost at the level of the previous quarter and amounted to 3.981 million tons, while the output of commercial iron ore products decreased by 4% to 3.773 million tons. The production of iron ore pellets decreased by 21% to 1.339 million tons due to the temporary shutdown of one of the roasting machines as a result of damage to the power supply systems caused by shelling. As a result, the output of commercial iron ore concentrate increased by 9% to 2.434 million tons.
In 2025, total iron ore concentrate production was comparable to the previous year’s volume and amounted to 15.695 million tons. At the same time, the shutdown of operations at the Ingulets quarry in July 2024 was offset mainly by increased production at the Hannivsk quarry. Production of commercial iron ore products increased by 3% to 15.229 million tons, with commercial pellets increasing by 5% and concentrate production remaining virtually unchanged.
In December 2024, due to the intensification of hostilities and the approach of the front line, the production site of the Pokrovsk Coal Group, located in Donbas, was suspended. Subsequently, against the backdrop of power supply disruptions and a further deterioration in the security situation, the production activities of the mine and enrichment plant were suspended.
In addition, the group is in the final stages of selling United Coal Company (USA). In this regard, the asset was deconsolidated starting with the financial statements for the first half of 2025.
Metinvest is a vertically integrated group of mining and metallurgical enterprises. Its enterprises are located in Ukraine – in the Donetsk, Luhansk, Zaporizhzhia, and Dnipropetrovsk regions – as well as in the European Union, the United Kingdom, and the US. The main shareholders of the holding company are SCM Group (71.24%) and Smart Holding (23.76%). Metinvest Holding LLC is the managing company of the Metinvest Group.
According to Serbian Economist, the authorities of Bosnia and Herzegovina are considering the introduction of a temporary duty of 30% on imports of steel and steel products for a period of 200 days. The proposal was prepared by the Ministry of Foreign Trade and Economic Relations at the request of Nova Željezara Zenica, the final decision after public consultations should be made by the Council of Ministers of BiH.
The initiative is explained by a sharp increase in the supply of certain categories of metal products. According to the Ministry, in 2025, imports of reinforcement mesh in BiH increased by 192.87% compared to the average of the previous four years, with Serbia being the largest supplier, with more than 9,000 tons, which is 408% higher than the 2021-2024 average. In second place was Italy (7,794 tons, about double the previous level).
Separately, the dynamics of imports from Turkey are pointed out: the supply of rebar in coils in 2025 increased by 885% relative to the four-year average, while imports of bars increased by 229.56%. The ministry believes that this creates pressure from foreign producers and leads to underutilization of local capacity.
In an explanation of the initiative, the ministry notes the risk of increased dependence of the construction sector on imports and warns of possible consequences, including job cuts, lower budget revenues, falling investment and higher prices on the domestic market.
The decision is being discussed against the backdrop of Serbia’s recent protective measures: as of January 1, 2026, Belgrade introduced a temporary import quota scheme for a number of iron and steel products (as well as Portland cement) with an additional duty of 50% on shipments above the quotas.
Nova Željezara Zenica itself, acquired last year by H&P Zvornik (Pavgord Group), had previously initiated bankruptcy proceedings against the company, explaining that it had been insolvent for a long time.
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The Kametstal plant, part of the Metinvest mining and metallurgical group (Kamensk, Dnipropetrovsk region) took into account the demands of the Ukrainian and European markets in 2025, expanding its range of continuously cast billets (CCB) by four items and its range of sought-after rolled products by three items.
According to the company, in 2025 Kametstal once again confirmed its leading position among Metinvest’s metallurgical enterprises in terms of the number of new products developed. Of the 11 new types of metal products brought to market, seven are the work of the Kametstal team.
It is specified that the achievements of the steelmakers of the converter shop include four new steel grades: 10U1, 20U, 26G2TR, and S355NL-1N with enhanced requirements for chemical composition, primarily in terms of sulfur and phosphorus content.
The casting of new steel grades into continuously cast billets with a cross-section of 335×400 mm has been mastered at continuous casting machine No. 2, where the reconstruction of electrical equipment was completed last year. This, in particular, contributed to the stabilization of the casting speed and, consequently, to the improvement of the cutting accuracy of billets, minimizing metal waste. The purpose of the new semi-finished products is the manufacture of round rolled products and their further processing into seamless pipes for critical applications.
The rolling mill team offered Ukrainian and European consumers three new product ranges that had not previously been produced at the plant. First and foremost, these are 8-32 mm diameter rebars for the Polish and Romanian markets, the production of which has been mastered on the 400/200 mill. Thanks to certification in accordance with the building standards of these countries, Metinvest has already shipped more than 100,000 tons of B500SP class rebar to Poland in 2025.
The ball mill has mastered the production of 100 mm diameter grinding balls with high surface and volume hardness, which corresponds to the fifth group. By experimentally determining the optimal heat treatment mode after rolling, specialists have achieved stable production of products with increased wear resistance, which is necessary for the stable and efficient operation of the company’s mining and processing plants.
Kametstal is part of the Metinvest Group.
In 2025, AMKR increased steel production by 2.3% to 1 million 688.9 thousand tonnes. This is the second consecutive year of positive dynamics after a sharp recovery in 2024.
The growth was made possible by the team’s efforts to stabilise the operation of key units in wartime conditions. However, as noted by management, production operated with restrictions due to unstable power supply and the need for constant re-planning of work due to attacks on the power grid.
At the end of the year, the EU’s Carbon Border Adjustment Mechanism (CBAM) put additional pressure on export-oriented production, the effects of which the company expects to feel as early as 2026.
ArcelorMittal Kryvyi Rih is the largest producer of rolled steel in Ukraine. It specialises in the production of long products, in particular, rebar and wire rod. The company has a full production cycle, with production capacities designed for an annual output of over 6 million tonnes of steel, more than 5 million tonnes of rolled products and over 5.5 million tonnes of pig iron.
ArcelorMittal owns Ukraine’s largest mining and metallurgical complex, ArcelorMittal Kryvyi Rih, and a number of small companies, including ArcelorMittal Beryslav.
Ukrainian metallurgical companies may increase steel production by 17% in 2026, to 8.9 million tons from 7.6 million tons in 2025, said Serhiy Povazhnyuk, deputy director of the state-owned enterprise Ukrpromzovnishchexpertiza, in an interview with telegraf.com.ua.
According to him, the main factors limiting production were security-related military risks, staff shortages, unstable electricity supplies due to missile and drone strikes on energy infrastructure, and the continuing shortage of scrap metal on the domestic market.
“As for the forecast for 2026, metallurgical plants have already announced plans to significantly increase liquid steel production, to approximately 8.9 million tons,” the expert said.
At the same time, he noted that the Ukrainian metallurgical industry is experiencing an acute shortage of ferrous metal scrap, in particular due to the growth in exports of this raw material abroad.
“If metallurgical plants manage to implement the planned increase in production, there may simply not be enough scrap metal collected. Domestic consumers should be given priority in terms of raw material supplies, especially now, during wartime,” said Povazhnyuk.
He cited calculations according to which 1 ton of scrap metal, which is processed into metal products at Interpipe’s facilities, for which scrap is the main raw material, brings the state UAH 7,500 in taxes. In addition, 1 ton of scrap used at Metinvest Group’s plants generates about UAH 9,300 in tax revenues to budgets at all levels.
As Povazhnyuk emphasized, this is a direct benefit that the state receives by keeping all scrap metal in the country and processing it into steel. In addition, such processing has a multiplier effect on the entire economy, as it stimulates growth in related industries, such as the production of iron ore, coke, and ferroalloys.
“All this needs to be transported within the country, which means that the transport industry receives additional cargo. According to calculations, these sectors will pay an additional 5.5-5.8 thousand UAH in taxes to the budget per ton of scrap metal consumed. Therefore, the total effect for the budget from processing 1 ton of scrap metal in Ukraine will be 13-14 thousand hryvnia/ton. In addition to cash inflows to the budget, metallurgical plants provide tens of thousands of official jobs for themselves and related enterprises,” the deputy director argued.
In addition, Povazhnyuk stated that exporters pay taxes and payroll charges (personal income tax, social security contributions, military tax), land tax, and income tax.
“According to our data, in 2024, the largest exporting companies, which accounted for almost 90% of Ukrainian scrap metal exports, exported a total of 247,000 tons of raw materials abroad, paying a total of only UAH 12.3 million in taxes. Thus, the state received an average of UAH 50 in taxes for each ton of scrap metal exported. The official number of employees in these companies was only a few dozen people,” said the expert, specifying that the calculations were made based on open data on the financial performance of companies available through the OpenDataBot service and other public sources.
At the same time, Poland has begun discussing the abolition of trade preferences for the Ukrainian metallurgical industry due to Ukraine’s intentions to introduce a de facto ban on the export of ferrous metal scrap. This was written on his social media page by Michal Poluboczek, a member of the Polish Sejm from the Confederation party.
According to the draft resolution of the Cabinet of Ministers “On the approval of lists of goods subject to licensing for export and import, and quotas for 2026,” it is proposed to set the quota for ferrous metal scrap for the next year at zero, which means a de facto ban on the export of ferrous metal scrap.
As reported, in January-November 2025, Ukrainian scrap collection companies increased exports of ferrous metal scrap by 45.3% compared to the same period in 2024, from 261,578 thousand tons to 380,165 thousand tons. In monetary terms, scrap exports increased by 37.4% to $112.782 million from $82.056 million. During the period in question, scrap exports were formally carried out mainly to Poland (79.80% of shipments in monetary terms), Greece (7.61%), and Italy (5.70%).
In addition, it was reported that due to the sharp increase in exports of strategic raw materials from Ukraine, the Ministry of Economy initiated the introduction of a licensing and quota regime for scrap exports with a zero quota. A public discussion of the draft resolution is currently underway. Its implementation is expected to contribute to the smooth operation of Ukraine’s metallurgical and foundry industries, as well as to stabilize the situation with regard to meeting the demand for scrap on the domestic market.
In 2024, Ukraine’s scrap collection companies increased their exports of ferrous metal scrap by 60.7% compared to 2023, from 182,465 thousand tons to 293,190 thousand tons. In monetary terms, scrap exports for the year increased by 73.2% to $91.311 million from $52.723 million.
Earlier, Valentin Makarenko, chairman of the board of Interpipe Vtormet, said in an interview with Interfax-Ukraine that ferrous metal scrap exports have always been and remain a threat to the Ukrainian metallurgical industry, as they exacerbate the shortage of this raw material on the domestic market. In addition, this problem is compounded by the fact that during the war, the area suitable for scrap collection is shrinking.
Previously, large metallurgical plants most often compensated for the shortage of scrap mainly by increasing the consumption of pig iron during steel smelting. However, due to the shutdown of the Pokrovsk coal mining group and the increase in coking coal imports, replacing scrap with pig iron has become economically unfeasible in converter steel production.
According to Makarenko, at the same time, the importance of scrap as a raw material for decarbonization of industry is growing. The electrometallurgical method of steel smelting is becoming the most efficient and popular for the manufacture of metal products and their subsequent sale on European markets in order to minimize the impact of the “carbon” tax. Recognizing this trend, the European Union is resorting to various regulatory measures that allow ferrous metal scrap to remain within the bloc, and local steel mills have the raw materials to produce steel in the most economical and environmentally friendly way.
“Today, I don’t see any other effective mechanisms for stabilizing the market and reducing scrap exports, except for an administrative ban on the export of this strategic raw material outside Ukraine at the state level,” the chairman of the board summed up.
For more information on the largest steel producers and global industry trends, see the Experts Club video analysis review available on YouTube: Experts Club — Leaders of the global steel industry 1990–2024
