Business news from Ukraine

Zaporizhstal increased rolled steel output by 41%

3 November , 2023  

In January-October this year, Zaporizhzhia Iron and Steel Works “Zaporizhstal” increased its rolled steel output by 40.6% year-on-year to 1 million 652.5 thousand tons.

According to the company’s information on Thursday, steel production during this period increased by 49.7% to 1 million 997.5 thousand tons, and pig iron production by 27.1% to 2 million 190.3 thousand tons.

In October 2023, Zaporizhstal produced 267.3 thousand tons of iron, 251.7 thousand tons of steel, and shipped 208.6 thousand tons of rolled products, while in the previous month it produced 257.9 thousand tons of iron, 239.7 thousand tons of steel, and shipped 200.4 thousand tons of rolled products, and in October 2022 – 157 thousand tons of iron, 121.7 thousand tons of steel, and 101.8 thousand tons of rolled products.

“The increase in production in October 2023 compared to the same period last year is due to the removal of blast furnace No. 2 from hot mothballing and the establishment of three blast furnaces,” the press release explains.

As a reminder, due to the escalation of hostilities in the region, Metinvest Group put some of Zaporizhstal’s equipment into hot mothballing mode in early March 2022. At the end of March of the same year, the plant partially resumed the operation of its cold rolling mill to produce and ship cold-rolled coils to European customers. A month after the forced shutdown, the plant brought its equipment out of mothballing and partially resumed production. The plant is currently operating at an average of 70% of its capacity.

As reported, in 2022, Zaporizhstal reduced its rolled steel output by 60.4% compared to 2021, to 1 million 304.3 thousand tons, steel by 61.7%, to 1 million 491.3 thousand tons, and pig iron by 54.3%, to 2 million 9.9 thousand tons.

“Zaporizhstal is one of the largest industrial enterprises in Ukraine, whose products are in great demand among consumers both in the domestic market and in many countries around the world. The plant specializes in high-quality steel hot-rolled coils, hot-rolled sheets, cold-rolled sheets, cold-rolled coils made of carbon and low-alloy steels, as well as steel strips, ferrous tin, and bent sections.

The main consumers of the products are producers of welded pipes, automotive, transport and agricultural machinery companies, and manufacturers of household appliances.

“Zaporizhstal is in the process of integration into Metinvest Group, whose major shareholders are System Capital Management (71.24%) and Smart Holding Group (23.76%).

Metinvest Holding LLC is the management company of Metinvest Group.