Business news from Ukraine

Ukraine increased exports of scrap metal by more than half

13 May , 2024  

In January-April this year, Ukrainian companies increased exports of ferrous scrap by 54.9% year-on-year to 87,414 thousand tons from 56,449 thousand tons.

According to statistics released by the State Customs Service on Friday, 26.153 thousand tons were exported in April, 20.907 thousand tons in March, 23.194 thousand tons in February and 17.160 thousand tons in January.

In monetary terms, scrap metal exports increased by 68.8% to $28.155 million from $16.684 million.

In January-April, Ukraine exported scrap metal to Poland (83.81%), Greece (12.39%) and Germany (3.65%).

In the first four months of the year, the country imported 339 tons of scrap metal for $187 thousand. Imports were carried out from Slovakia (43.01% in monetary terms), Turkey (38.17%) and Poland (8.06%), while in January-April 2023, 176 tons of scrap metal were imported for $64 thousand (49.23% from Slovakia, 21.54% from Moldova and 15.38% from the Netherlands).

As reported, in 2023, the scrap collecting enterprise of Ukraine increased the export of scrap metal from the country by 3.4 times compared to the previous year – up to 182.485 thousand tons from 53.557 thousand tons. In monetary terms, exports increased 2.74 times to $52.723 million from $19.271 million.

Earlier, Ukrmetallurgprom President Oleksandr Kalenkov stated in a column on the Interfax-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 noted 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 in the face of the ongoing war. He also clarified that a ton of scrap metal processed into steel brings in 10 times more to the budget than the EU export duty, which is about $300 per ton.

In 2022, Ukraine reduced exports of ferrous scrap by 11.5 times compared to the previous year, to 53,557 thousand tons, and in monetary terms, it decreased by 12.4 times, to $19.271 million.

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