Ukrainian metallurgical enterprises plan to retain smelting of steel at the level of the forecast for July in August 2019, to 1.8 million tonnes.
According to the Ukrmetalurgprom association, the plan for August also provides for the preservation of total pig iron production at the level of 1.8 million tonnes and reduction of total rolled steel smelting by 5.9%, to 1.6 million tonnes from 1.7 million tonnes.
According to the updated data from Ukrmetallurgprom, in January-June 2019, 31.62 million tonnes of iron ore concentrate (105% compared to the same period of 2018), 15.8 million tonnes of sinter (102%), 10.93 million tons of pellets (103%), 5.19 million tonnes of gross coke with 6% moisture (97%), 10.24 million tonnes of pig iron (101%), 10.93 million tonnes of steel (105%), 9.42 million tonnes of rolled metal (102%) and 560,000 tonnes of pipe products (104%).
In June, 1.524 million tonnes of pig iron was produced (less by 9% compared to May 2019), 1.659 million tonnes of steel (91%), 1.5 million tonnes of rolled products (86%).
As of July 9, 2019, 17 out of 21 blast furnaces, seven out of nine open-hearth furnaces, 13 out of 16 converters, six out of 15 electric furnaces and 15 out of 15 continuous casting machines were in operation.
Consumption of natural gas by Ukrainian metallurgical enterprises in January-March 2019 fell by 10% compared January-March 2018, to 460 million cubic meters (mcm).
According to the information sheet of the Ukrmetallurgprom association, in March, the volume of gas consumed by metallurgists amounted to around 150 mcm, which is 3% more than the previous month.
In January, 2019, electricity consumption by metal enterprises amounted to about 2.92 billion kWh (96% compared to January-March 2018). In March, around 1 billion kWh of electricity was consumed, which is 10% more than in February.
As reported, the metal enterprises of Ukraine in 2018 reduced natural gas consumption by 4% compared with 2017, taking into account enterprises in the temporarily uncontrolled territory, but increased by 4% without these enterprises, to 1.840 billion cubic meters.
Electricity consumption by metal enterprises in 2018 amounted to 11.76 billion kWh (102% of the consumption in 2017 taking into account enterprises in the temporarily uncontrolled territory, and 106% without them.
Ukrainian metallurgical enterprises are seriously concerned about the changing situation in the world metal products markets in connection with the United States’ introducing 25% duties on steel imports, in particular, from the European Union. President of the Ukrmetalurgprom Association Oleksandr Kalenkov told Interfax-Ukraine the decision was expected, but it carries significant risks for Ukrainian steel products, especially in the context of duties with regard to the EU.
“If steel supplies to the United States from Ukraine make up 1.3%, then to the EU more than 30%. Moreover, a few weeks ago Turkey also announced a protective investigation after the introduction of protective measures by the U.S.,” the agency said.
At the same time, the head of the association noted that the markets of the EU and Turkey are priority for the supply of Ukrainian steel products.
“More than half of total exports of Ukrainian steel products worth over $5 billion fall under the risks of protective measures of the EU and Turkey,” Kalenkov said.
Dniprovsky Metallurgical Plant, in turn, told the agency at present there are no changes in the sale of metal products
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