Business news from Ukraine

UKRAINE’S ROLLED METAL MARKET UP BY 20% IN JAN-OCT

Ukrainian enterprises in January-October this year increased their consumption of rolled metal by 19.42% compared to the same period last year, to 4.324 million tonnes. According to a press release of the Ukrmetalurgprom association on Tuesday, during this period 969,700 tonnes were imported, or 22.43% of the domestic market for rolled metal consumption.
“In January-October 2021, the capacity of the domestic market amounted to 4.324 million tonnes of rolled metal, of which 969,700 tonnes, or 22.43%, accounted for imports. In January-October 2020, the capacity of the domestic market was 3.621 million tonnes, of which 1.028 million tonnes, or 28.38%, were imported. Thus, in ten months of 2021, there is an increase in the capacity of the domestic market for rolled metal products by 19.42% compared to January-October 2020, with a simultaneous decrease in the import share by 5.96%,” the press release states.
At the same time, the structure of imports in January-October 2021 is characterized by a significant domination of flat products over long products (54.66% and 42.28%, respectively); in the same period of 2020, a domination of flat products over long products was practically comparable with 2021 (56.38% and 42.44%, respectively).
According to Ukrmetalurgprom, in January-October-2021, Ukrainian metallurgical enterprises produced 15.99 million tonnes of rolled metal (105.4% compared to January-October 2020), of which, according to the information of V.S.K. Group LLC, about 12.63 million tonnes, or 79%, were exported. Over ten months of 2020, the share of exports was 82.9% (12.58 million tonnes with total production of 15.17 million tonnes of rolled metal).
The share of semi-finished products in export supplies accounted for 46.17% over ten months of 2021, which is lower than the indicator for the same period in 2020 (51.03%). The share of flat-rolled products in export supplies in January-October 2021 is noticeably higher than in January-October 2020 (37.86% and 32.08%, respectively). The share of long products in export supplies is slightly inferior to the indicator for the same period last year (15.98% in 2021 versus 16.88% in 2020).
According to V.S.K. Group, the main export markets of Ukrainian metal products in January-October 2021 were the European Union (36.5%), other European countries (20.1%) and NAFTA countries (9.7%).
Among metallurgical importers over ten months of 2021, the CIS ranks first (35.4%), the second is the countries of Asia (21.6%) and the third is the EU-27 (20.5%).

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UKRAINE RAISES OUTPUT OF ROLLED PRODUCTS BY 6%

Ukrainian metallurgical enterprises in January-August this year increased production of general rolled products, according to recent data, by 5.9% compared to the same period last year, to 12.999 million tonnes.
According to the Ukrmetalurgprom association on Thursday, over the eight months steel production increased by 6.7%, to 14.596 million tonnes, and cast iron – by 7%, to 14.503 million tonnes.
In August, 1.673 million tonnes of rolled products, 1.864 million tonnes of steel, and 1.852 million tonnes of cast iron were produced, while in the previous month – 1.723 million tonnes of rolled products, 1.876 million tonnes of steel, and 1.857 million tonnes of cast iron.

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ARCELORMITTAL REDUCES OUTPUT OF ROLLED PRODUCTS IN UKRAINE IN JAN-JUNE

PJSC ArcelorMittal Kryvyi Rih (Dnipropetrovsk region) in January-June 2021 reduced the output of general rolled products, according to operational data, by 2.1% year-over-year, to 2.3 million tonnes.

A representative of the company told Interfax-Ukraine that steel production during this period increased by 1.4%, to 2.45 million tonnes, cast iron by 10.4%, to 2,790 tonnes. At the same time, sinter production increased by 7.6%, to 4.95 million tonnes.

In June, about 390,000 tonnes of rolled products, some 420,000 tonnes of steel, some 470,000 tonnes of cast iron, some 880,000 tonnes of sinter were produced.

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AZOVSTAL RAISES PRODUCTION OF ROLLED GOODS

Metallurgical plant Azovstal (Mariupol, Donetsk region), part of Metinvest Group, in January-April of this year increased the production of general rolled goods, according to recent data, by 6.8% compared to the same period last year, to 1.37 million tonnes.
A representative of the enterprise informed Interfax-Ukraine that during this period steel production increased by 7.1%, to 1.45 million tonnes, output of pig iron – by 6.2%, to 1.28 million tonnes.
In April, Azovstal produced about 370,000 tonnes of general rolled products, 400,000 tonnes of steel, and 340,000 tonnes of pig iron.
In 2020, Azovstal increased output of general rolled products by 2.7% compared to the previous year, to 3.9 million tonnes, steel by 4.5% – to 4.2 million tonnes, pig iron by 9.4% – to 3.8 million tonnes.
The company is part of Metinvest Group, the main shareholders of which are SCM Group (71.24%) and Smart-Holding (23.76%), jointly managing the company.
Metinvest Holding LLC is the management company of Metinvest Group.

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UKRAINIAN ENTERPRISES IN 2020 INCREASE CONSUMPTION OF ROLLED METAL

Ukrainian enterprises in 2020 increased the consumption of rolled metal by 4.4% compared to the previous year, to 4.904 million tonnes.
According to a press release from the Ukrmetalurgprom association, in 2020, some 1.228 million tonnes, or 25.4% of the domestic market for the consumption of rolled metal were imported.
“For the period January-December 2020, the capacity of the domestic market amounted to 4.904 million tonnes of rolled metal, of which 1.228 million tonnes, or 25.4%, accounted for imports. For the same period of 2019, the capacity of the domestic market was 4.697 million tonnes, of which 1.419 million tonnes, or 30.2%, were imported. Thus, for the 12 months of 2020, there is an increase in the capacity of the domestic market of rolled metal by 4.4% compared to January-December 2019, with a simultaneous a decrease in the import share by 5.2%,” the press release said.
In addition, it is reported that the import structure of 2020 is characterized by the domination of flat-rolled products over long products (55.84% and 42.93%, respectively), which is almost equal to the import structure in 2019 (some 55.21% and 41.87%, respectively).
According to Ukrmetalurgprom, in 2020, Ukrainian metallurgical enterprises produced 18.43 million tonnes of rolled metal (101.2% compared to 2019), of which, according to ETR-Spectr LLC, about 14.75 million tonnes or 80% were exported. In 2019, the export share was 82% (some 14.94 million tonnes with a total production of 18.21 million tonnes of rolled metal).
The share of semi-finished products in export deliveries in 2020 accounted for 50.77%, which is slightly higher than in 2019 (some 47.18%). Share of flat-rolled products in export deliveries in 2020 is almost equal to the indicator of 2019 (some 32.51% and 32.80% respectively). The share of long products in export deliveries last year is noticeably lower to the 2019 indicator (16.71% in 2020 versus 20.02% in 2019).
According to ETR-Spectr LLC, the main export markets for Ukrainian metal products in 2020 were the European Union (28.5%), other European countries (14.5%) and Asian countries (14.2%).
Among metallurgical importers in 2020 the first place is occupied by the CIS countries (38.5%), the second is the EU-28 (24.5%), and the third is Asian countries (20.5%).

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ARCELORMITTAL REDUCES PRODUCTION OF ROLLED GOODS IN UKRAINE

PJSC ArcelorMittal Kryvyi Rih (Dnipropetrovsk region) in January-October of this year reduced the output of general rolled products, according to recent data, by 3.8% compared to the same period last year, up to 3.69 million tonnes.
As the representative of the enterprise informed the Interfax-Ukraine agency, steel production during this period decreased by 16.6%, to 3.8 million tonnes, pig iron by 11.3%, to 4 million tonnes. At the same time, sinter production decreased by 11.5% to 7.36 million tonnes.
In October, 320,000 tonnes of rolled metal, 350,000 tonnes of steel, 380,000 tonnes of pig iron, 700,000 tonnes of sinter were produced.
As reported, ArcelorMittal Kryvyi Rih over 2019 increased the output of general rolled products by 11.2% compared to the previous year, to 4.665 million tonnes, steel by 11.8%, to 5.327 million tonnes, pig iron by 14.9%, to 5.310 million tonnes, sinter production increased by 14.3%, to 9.831 million tonnes.
ArcelorMittal Kryvyi Rih is the largest manufacturer of rolled steel in Ukraine. It specializes in production of long products, in particular, rebar and wire rod.
ArcelorMittal owns the largest mining and metallurgical plant in Ukraine ArcelorMittal Kryvyi Rih and a number of small companies, in particular, PJSC ArcelorMittal Beryslav.

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