Business news from Ukraine

UKRAINE CUTS OUTPUT OF METAL PRODUCTS BY ALMOST 60% IN H1 2022 DUE TO RUSSIAN AGGRESSION

Ukrainian metallurgical enterprises in January-June this year reduced production of general rolled products, according to recent data, by 58.4% compared to the same period last year, to 4.018 million tonnes.
According to the Ukrmetalurgprom association, for the first six months of the year, steel production decreased by 58.2%, to 4.539 million tonnes, and cast iron by 57.9%, to 4.538 million tonnes.
Earlier, Ukrmetalurgprom reported that Ukraine in January-May of this year reduced production of general rolled products by 52.7%, to 3.789 million tonnes, steel by 52.8%, to 4.244 million tonnes, and cast iron by 53.3%, to 4.154 million tonnes.
In the first quarter of this year, the country reduced production of general rolled products by 34.2%, to 3.116 million tonnes, steel by 31.2%, to 3.641 million tonnes, and cast iron by 34.1%, to 3.499 million tonnes.
It was also reported that Ukraine, as of February 24, 2022 (the beginning of Russian military aggression), over less than two months of this year, reduced production of general rolled products by 9.2% compared to the same period last year, to 2.859 million tonnes, steel 8.2%, to 3.225 million tonnes, and cast iron by 10.7%, to 3.132 million tonnes.
Then it was explained that in connection with Russian military aggression, all the country’s metal enterprises were stopped and transferred to the “hot conservation” mode.

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DNIPROSPETSSTAL INCREASES OUTPUT

Dniprospetsstal electrometallurgical plant (Zaporizhia) in January-August this year increased the output of finished rolled products, according to recent data, by 9% compared to the same period last year, to 109,000 tonnes.
A representative of the enterprise informed Interfax-Ukraine that steel production during this period increased by 5.5%, up to 153,000 tonnes.
In August, 19,000 tonnes of steel were smelted, 13,000 tonnes of rolled products were produced.
As reported, Dniprospetsstal in 2020 increased the output of finished rolled products by 1.3% compared to 2019, up to 154,000 tonnes, steel by 2.7%, to 225,000 tonnes.
Dniprospetsstal is the only Ukrainian manufacturer of long products and forgings from special grades of steel: stainless, tool, high-speed, bearing, structural, as well as from heat-resistant nickel-based alloys.

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RUBIZHNE CARDBOARD MILL INCREASES OUTPUT OF CORRUGATED PACKAGING

Rubizhne cardboard and packaging mill (Luhansk region), a leading Ukrainian manufacturer of cardboard packaging, in January-June 2021, taking into account the products of the subsidiary Trypilsky packing plant (Kyiv region), produced 135.15 million square meters of corrugated boxes, which is 17.1% more year-over-year.
According to the statistical data of the UkrPapir association provided to Interfax-Ukraine, Rubizhne cardboard and packaging mill accelerated the increase in the output of these products a little more compared to the same period in 2020 (in January-April 2021 it was 9.4%, in January-May some 11.8%) and consolidated its leadership in Ukraine.
During this period, the mills in quantity terms increased the production of components for corrugated board (cardboard and corrugated paper) by 14.8%, to 118,840 tonnes.
At the same time, the total volume of commercial products of the two plants in monetary terms increased by 37.5%, to UAH 2.542 billion.

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UKRAINE INCREASES OUTPUT OF STEEL BY 38% IN APRIL

World crude steel production in April this year grew by 23.3% year-on-year, to 169.5 million tonnes, according to a press release from the World Steel Association (Worldsteel).
Based on the results of the work of metallurgical enterprises in April 2021, Ukraine increased steel production by 37.8% compared with April 2020, to 1.845 million tonnes, climbing from 13th to 14th place in the ranking of 64 countries – the world’s main producers of these products compiled by Worldsteel.
In April, an increase in steel production was recorded compared with April last year in all countries of the top ten.
The top ten steel-producing countries in April 2021 are as follows: China (97.850 million tonnes, a rise of 13.4% on April 2020), India (8.3 million tonnes, a rise of 152.1%), Japan (7.817 million tonnes, a rise of 18.9%), the United States (6.896 million tonnes, a rise of 43%), Russia (6.5 million tonnes, a rise of 15.1%), South Korea (5.860 million tonnes, a rise of 15.4%), Germany (3.361 million tonnes, a rise of 31.5%), Turkey (3.290 million tonnes, a rise of 46.6%), Brazil (3.073 million tonnes, a rise of 59.3%) and Iran (2.470 million tonnes, a rise of 6.4% ).
They are followed by Italy (2.056 million tonnes, a rise of 78.9%), Taiwan (China, 1.915 million tonnes, a rise of 9.1%), Vietnam (1.880 million tonnes, a rise of 77.4%), Ukraine (1.845 million tonnes, a rise of 37.8%) and Mexico (1.610 million tonnes, a rise of 21%).
In total, 64 countries produced 662.780 million tonnes of steel in January-April 2021, which is 13.7% more than in the same period last year.

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ZAPORIZHKOKS CUTS OUTPUT

PrJSC Zaporizhkoks, one of the largest Ukrainian coke and chemical producers, part of Metinvest Group in January-February this year reduced production by 1.1% compared to the same period last year, to 140,100 tonnes.
According to the company, 66,100 tonnes of blast furnace coke were produced in February, while a month earlier – 74,000 tonnes.
As reported, Zaporizhkoks in 2020 increased production by 3.1% compared to the previous year, to 853,120 tonnes.
Zaporizhkoks produces about 10% of coke produced in Ukraine, owns a full technological cycle of processing coke-chemical products. In addition, it produces coke oven gas and pitch coke.
Metinvest is a vertically integrated group of mining companies. Its main shareholders are SCM Group (71.24%) and Smart-Holding (23.76%), jointly managing the company.
Metinvest Holding LLC is the managing company of Metinvest Group.

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DNIPROSPETSSTAL REDUCES ROLLED PRODUCTS OUTPUT IN H1

Dniprospetsstal Electrometallurgical Plant (Zaporizhia) in January-June 2020 reduced the output of finished steel by 1.4% compared to the same period last year, to 73,000 tonnes.
The company told Interfax-Ukraine that steelmaking reduced by 1.9%, to 105,000 tonnes, over this period.
In June 2020, there were 17,000 tonnes of steel smelted and 13,000 tonnes of rolled products produced.
As reported, in 2019 Dniprospetsstal reduced the output of finished steel by 6.4% compared to the previous year, to 152,212 tonnes, steel – by 11.2%, to 219,308 tonnes.
Dniprospetsstal is Ukraine’s only manufacturer of high-quality rolled products and forgings made of special steel grades: stainless, tool, bearing, structural, and also from nickel-based superalloys.

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