Business news from Ukraine

UKRAINIAN SCRAP METAL MARKET EXPANDS BY 6.5%, SCRAP METAL IMPORTS GROWS BY 12.5% IN JAN-NOV

Ukrainian enterprises in January-November 2018 boosted scrap metal consumption by 6.51% year-over-year, to 4.976 million tonnes.
According to a report of the Ukrmetallurgprom association issued on Wednesday, over the period 1.346 million tonnes of scrap metal was imported (a rise of 12.54% year-over-year), or 27.1% of the total market.
The share of flat scrap was 50.82% and the share of long scrap was 46.04%, and a year ago the figures were 56.86% and 41.64% respectively.
According to the Ukrmetallurgprom, in January-November 2018 Ukrainian enterprise produced 16.84 million tonnes of rolled steel (101% of the figure seen a year ago, taking into account operations of facilities on the government uncontrolled areas in January-February 2017, or 103% without them). Some 13.21 million tonnes (78.4%) was exported. The share of exports a year ago was 79.7% (13.35 million tonnes with total production of 16.74 million tonnes).
The share of semi-fabricated products of exports in January-November 2018 was 43.68% (42.25% a year ago). The share of flat rolled steel of total exports was 34.85% (34.11%), and the share of long rolled steel was 21.47% (23.64%).
The main export markets of Ukrainian metal products over the period, according to state-owned enterprise Information-Analytic Agency (StateAnalitInform), are the countries of the European Union (34%), Africa (16.6%), other European countries, including Turkey (13.1%) and the Middle East (10.7%).
Among the metallurgical importers in January-November 2018, the CIS countries (52.7%) are on the first position, on the second are the countries of Asia (20.5%), and on the third – the EU (17.7%).

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UZBEKISTAN RESUMES UKRAINIAN CONFECTIONARY IMPORTS

Uzbekistan from December 17 fully resumed customs clearance of goods of Ukrainian origin, including confectionary products, the Ukrkondprom association has reported. According to the association, manufacturers traditionally export the largest amount of confectionary during the New Year and Christmas holidays, so the lack of access to the Uzbek market during this period would cause significant damage to Ukrainian exporters.
As reported, Uzbekistan in the middle of November 2018 suspended customs clearance of goods from Ukraine without official explanation of the reasons. On November 11, the Ukrtsukor association of sugar manufacturers announced a gradual customs clearance of goods of Ukrainian origin.

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RUSSIA (62% OF ALL IMPORTS) AND USA (30%) ARE MAJOR COAL SUPPLIES OF UKRAINE

Ukraine increased imports of coal and anthracite coal (HS code 2701) by 9.9%, or 1.719 million tonnes, in January-November 2018 year-over-year, to 19.095 million tonnes. Coal shipments over the period under review were estimated at $2.693 billion, which was 10.8% more than in January-November 2017 ($2.431 billion), Ukraine’s State Fiscal Service said.
In particular, coal bought from the Russian Federation (61.91% of all imports) was estimated at $1.667 billion, from the United States (29.94%) at $806.349 million, Canada (4.78%) at $128.608 million, and other countries (3.37%) at $90.865 million.
In addition, Ukraine in January-November 2018 exported 63,617 tonnes of coal and anthracite to the tune of $8.627 million, including to Russia ($4.597 million), Slovakia ($3.201 million), Moldova ($0.715 million), and other countries ($0.114 million).
As reported, Ukraine plans in 2018 to increase import of steam coal by 11.3% compared to 2017, to 5.669 million tonnes.
In particular, it plans to buy 4.882 million tonnes of coal from Russia (a rise of 29.6% from 2017), 664,000 tonnes from the United States (a rise of 47.7%), and 123,000 tonnes from South Africa (a fall of 83.8%).
In 2011, Ukraine’s coal and anthracite imports totaled $2.761 billion and exports $775.109 million, in 2012: $2.637 billion and $609.392 million, respectively. These indicators in 2013 were $1.974 billion and $737.009 million, respectively, in 2014: $1.773 billion and $521.017 million, in 2015: $1.632 billion and $53.651 million, in 2016: $1.467 billion and $44.762 million, and in 2017: $2.744 billion and $105.494 million, respectively.

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RADA COMMITTEE HEAD VIKTOR HALASIUK ADVOCATES INVESTIGATION INTO 25% RISE IN IMPORTS OF METAL

Chairman of the parliamentary committee for industrial policy and entrepreneurship (Deputy Head of the Liashko Radical Party for Economic Policy) MP Viktor Halasiuk has said that a special investigation into growth of imports of ferrous metals to Ukraine by 25% should be conducted and he advocates the introduction of safeguard measures for the supplies of ferrous metals from China, Turkey, Russia and other countries.
“The Radical Party demands from the government and the Ministry of Economy to immediately conduct a special investigation into the unprecedented 25% growth this year in imports of ferrous metals and products from Ukraine. In addition, the people’s deputies insist on the introduction of preventive measures to protect Ukrainian metallurgy from predatory imports from China, Turkey , Russia and other countries,” the industrial policy committee said in a press release of with reference to Halasiuk.
According to him, the closure of the largest global markets and the intensification of the struggle for existing sales markets for metal products is a real threat to the Ukrainian industry and economy. At the same time, imports of ferrous metals in Ukraine have already grown by 25%, therefore, hundreds of thousands of jobs in the mining and metallurgy sector and related industries are under attack.
“We demand urgent measures to prevent the growth of imports of metal products from China, Turkey, the Russian Federation and other countries that are fiercely fighting for new markets for their products. It is also important to lobby for access of Ukrainian metal products to foreign markets, including through the export credit agency,” Halasiuk said, stressing that the United States, Canada, the EU, China, EurAsEC, Turkey, some African countries and others actively protect the domestic market of metal products from imports, increasing imports duties by 25% and more.
“Governments of the world’s largest economies are taking all possible and impossible measures to protect their own producers of metal and metal products,” he said.

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RADA COMMITTEE HEAD VIKTOR HALASIUK ADVOCATES INVESTIGATION INTO 25% RISE IN IMPORTS OF METAL

Chairman of the parliamentary committee for industrial policy and entrepreneurship (Deputy Head of the Liashko Radical Party for Economic Policy) MP Viktor Halasiuk has said that a special investigation into growth of imports of ferrous metals to Ukraine by 25% should be conducted and he advocates the introduction of safeguard measures for the supplies of ferrous metals from China, Turkey, Russia and other countries.
“The Radical Party demands from the government and the Ministry of Economy to immediately conduct a special investigation into the unprecedented 25% growth this year in imports of ferrous metals and products from Ukraine. In addition, the people’s deputies insist on the introduction of preventive measures to protect Ukrainian metallurgy from predatory imports from China, Turkey , Russia and other countries,” the industrial policy committee said in a press release of with reference to Halasiuk.
According to him, the closure of the largest global markets and the intensification of the struggle for existing sales markets for metal products is a real threat to the Ukrainian industry and economy. At the same time, imports of ferrous metals in Ukraine have already grown by 25%, therefore, hundreds of thousands of jobs in the mining and metallurgy sector and related industries are under attack.
“We demand urgent measures to prevent the growth of imports of metal products from China, Turkey, the Russian Federation and other countries that are fiercely fighting for new markets for their products. It is also important to lobby for access of Ukrainian metal products to foreign markets, including through the export credit agency,” Halasiuk said, stressing that the United States, Canada, the EU, China, EurAsEC, Turkey, some African countries and others actively protect the domestic market of metal products from imports, increasing imports duties by 25% and more.
“Governments of the world’s largest economies are taking all possible and impossible measures to protect their own producers of metal and metal products,” he said.

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UKRAINE INCREASES COAL IMPORTS

Ukraine increased imports of coal and anthracite coal (HS code 2701) by 15.5%, or 2.343 million tonnes, in January-October 2018 year-over-year, to 17.426 million tonnes.
Coal shipments over the period under review were estimated at $2.461 billion, which was 14.4% more than in January-October 2017 ($2.151 billion), Ukraine’s State Fiscal Service said.
In particular, coal bought from the Russian Federation (62% of all imports) was estimated at $1.526 billion, from the United States (30.04%) at $739.278 million, Canada (5.16%) at $126.946 million, and other countries (2.8%) at $68.889 million.
In addition, Ukraine in January-October 2018 exported 56,223 tonnes of coal and anthracite to the tune of $8.355 million, including to Russia ($4.597 million), Slovakia ($3.201 million), Moldova ($0.454 million), and other countries ($0.103 million).
As reported, Ukraine plans in 2018 to increase import of steam coal by 11.3% compared to 2017, to 5.669 million tonnes.
In particular, it plans to buy 4.882 million tonnes of coal from Russia (a rise of 29.6% from 2017), 664,000 tonnes from the United States (a rise of 47.7%), and 123,000 tonnes from South Africa (a fall of 83.8%).
In 2011, Ukraine’s coal and anthracite imports totaled $2.761 billion and exports $775.109 million, in 2012: $2.637 billion and $609.392 million, respectively. These indicators in 2013 were $1.974 billion and $737.009 million, respectively, in 2014: $1.773 billion and $521.017 million, in 2015: $1.632 billion and $53.651 million, in 2016: $1.467 billion and $44.762 million, and in 2017: $2.744 billion and $105.494 million, respectively.

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