Business news from Ukraine

Zaporizhstal increased rolled steel output by 48% and steel production by 58%

In January-November of this year, Zaporizhstal Iron and Steel Works increased its rolled steel output by 47.9% year-on-year to 1 million 847.9 thousand tons.

According to the company’s information on Friday, steel production during this period increased by 57.6% to 2 million 238.3 thousand tons, and pig iron production by 31.3% to 2 million 453.2 thousand tons.

In November 2023, Zaporizhstal produced 262.7 thousand tons of iron, 240.8 thousand tons of steel, and shipped 195.6 thousand tons of rolled products, compared to 267.3 thousand tons of iron, 251.7 thousand tons of steel, and 208.6 thousand tons of rolled products in the previous month, and 143.9 thousand tons of iron, 85.8 thousand tons of steel, and 74.8 thousand tons of rolled products in November 2022.

“The increase in production in November 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.

, ,

Ukrainian steelmakers increase steel production by 64.2% in September

In September this year, Ukrainian steelmakers increased steel production by 64.2% year-on-year to 558 thousand tons from 340 thousand tons.

At the same time, Ukraine took 21st place in the ranking of 63 countries – the world’s major producers of this product, compiled by the World Steel Association (Worldsteel).

According to Worldsteel, in September 2023, steel production increased compared to September 2022 in half of the top ten countries, except for China, Japan, Brazil and Iran.

The top ten steel producing countries in September are as follows: China (82.110 million tons, down 5.6% by September 2022), India (11.632 million tons, up 18.2%), Japan (7.020 million tons, down 1.7%), the United States (6.718 million tons, up 2.6%), and the Russian Federation (6.2 million tons, up 9.8%), South Korea (5.456 million tons, up 18.2%), Germany (2.902 million tons, up 2.1%), Turkey (2.890 million tons, up 8.4%), Brazil (2.630 million tons, down 5.6%) and Iran (2.397 million tons, down 12.7%).

Overall, in September this year, steel production decreased by 1.5% year-on-year to 149.316 million tons.

In the first nine months of 2023, the top ten steel-producing countries are as follows: China (795.070 million tons, up 1.7%), India (104.090 million tons, up 11.6%), Japan (65.387 million tons, down 3.6%), the United States (60.566 million tons, down 1.4%), and the Russian Federation (57.148 million tons, up 4.8%), South Korea (50.430 million tons, minus 0.4%), Germany (27.231 million tons, minus 3.6%), Turkey (24.489 million tons, minus 10.1%), Brazil (23.965 million tons, down 8%) and Iran (22.069 million tons, minus 0.6%).

In total, 63 countries produced 1 billion 406.376 million tons of steel in January-September, up 0.1% compared to the same period in 2022.

At the same time, Ukraine produced 4.590 million tons of steel in the first nine months of 2023, which is 16.9% lower than in January-September 2022. The country ranks 23rd in the first nine months of 2023.

As reported, in 2022, the top ten steel-producing countries looked like this: China (1.013 billion tons, down 2.1%), India (124.720 million tons, up 5.5%), Japan (89.235 million tons, -7.4%), the United States (80.715 million tons, -5.9%), and the Russian Federation (71.5 million tons, -7.2%), South Korea (65.865 million tons, -6.5%), Germany (36.849 million tons, -8.4%), Turkey (35.134 million tons, -12.9%), Brazil (33.972 million tons, -5.8%) and Iran (30.593 million tons, +8%).

In 2022, Ukraine ranked 23rd with the production of 6.263 million tons of steel (minus 70.7%).

In total, 64 countries produced 1 billion 831.467 million tons of steel in 2022, which is 4.3% less than in 2021.

Ukraine in June increased steel production by almost half by June 2022

Metallurgical enterprises of Ukraine in June this year increased steel production by 47.8% compared to the same period last year – up to 436 thousand tons from 295 thousand tons.
In May-2023, 583 thousand tons of steel were melted.
At the same time, Ukraine took 25th place in the ranking of 63 countries – the world’s major producers of these products, compiled by the World Steel Association (Worldsteel).
According to Worldsteel, in June-2023, a reduction in steelmaking by June-2022 was recorded in half of the top ten countries, except China, India, USA, Russia and Iran.
The top ten steel-producing countries at the end of June are as follows: China (91.110 million tons, up 0.4% by June-2022), India (11.205 million tons, up 12.9%), Japan (7.325 million tons, “minus” 1.7%), USA (6.789 million tons, “plus” 0.5%), RF (5.8 million tons, “plus” 3.8%), South Korea (5, 532 million tons, down 0.9%), Iran (3.159 million tons, up 17.4%), Turkey (2.937 million tons, down 1.5%), Germany (2.925 million tons, down 8.4%) and Brazil (2.566 million tons, down 12.5%).
Overall in June this year, steelmaking fell 0.1% year-on-year to 158.756 million tons.
For the first six months of 2023, the top ten steel-producing countries are as follows: China (535.640 million tons, up 1.3%), India (67.918 million tons, up 7.4%), Japan (43.833 million tons, down 4.7%), USA (39.855 million tons, down 2.9%), Russia (37.463 million tons, up 1%), South Korea (33, 675 million tons, down 0.5%), Germany (18.527 million tons, down 5.3%), Iran (16.125 million tons, up 4.8%), Brazil (15.972 million tons, down 8.9%) and Turkey (15.916 million tons, down 16.3%).
Overall, in January-June, 63 countries produced 943.9 million tons of steel, 1.1% less than in the same period of 2022.
At the same time, Ukraine produced 2.829 million tons of steel in 6M-2023, which is 37.7% less than in January-June 2022. The country is on the 24th place on the results of six months-2023.
As reported, at the end of 2022, the top ten steel-producing countries were as follows: China (1.013 billion tons, down 2.1%), India (124.720 million tons, up 5.5%), Japan (89.235 million tons, down 7.4%), USA (80.715 million tons, down 5.9%), Russia (71.5 million tons, down 7.2%), South Korea (65, 865 million tons, down 6.5%), Germany (36.849 million tons, down 8.4%), Turkey (35.134 million tons, down 12.9%), Brazil (33.972 million tons, down 5.8%) and Iran (30.593 million tons, up 8%).
Ukraine ranked 23rd for 2022 with steel production of 6.263 million tons (“minus” 70.7%).
In total, 64 countries produced 1 billion 831.467 million tons of steel in 2022, which is 4.3% less than in 2021.

“Zaporizhstal” increased shipment of rolled steel by 1.8% and steel production by 10.5%

Zaporizhstal steelmaker Zaporizhstal in January-June this year increased shipment of rolled steel by 1.8% compared to the same period of the last year – up to 844.2 thousand tons.
According to the company, smelting steel during this period rose by 10.5% to 1 million 18.9 thousand tons, and iron – by 1.1%, to 1 million 145.8 thousand tons.
In June 2023, Zaporizhstal produced 131.9 thousand tons of cast iron (in June 2022 – 72.8 thousand tons), 159.4 thousand tons of steel (69.6 thousand tons), shipped 199.1 thousand tons of rolled steel (146.9 thousand tons).
“The increase in production levels in June 2023 compared to the same period last year was due to the withdrawal of blast furnace No. 2 from hot preservation mode and the adjustment of the operating mode of three blast furnaces,” the press release explains.
At the same time, production went down in May. Thus, in the previous month was produced 229.6 thousand tons of iron, 213.3 thousand tons of steel, but the shipment of steel was lower – 180.5 thousand tons.
It’s worth mentioning that due to intensified military operations in the region, since the beginning of March 2022 Metinvest Group has put some of Zaporizhstal’s equipment into hot standby. At the end of March of the same year the plant partially resumed cold-rolling shop operation for production and shipment of cold-rolled coils to European consumers. A month after the forced shutdown the mill put the equipment out of conservation and partially resumed production. Since April 2022 the mill has been working at an average of 50% capacity.
As it was reported, in 2022 “Zaporizhstal” decreased the output of rolled steel by 60.4% compared to 2021 – down to 1 million 304.3 thousand tons, steel – by 61.7% to 1 million 491.3 thousand tons, iron – by 54.3%, to 2 million 9.9 thousand tons.
“Zaporizhstal” is one of the biggest industrial enterprises in Ukraine, which products are in great demand among the consumers on the internal market and in many countries of the world. The plant specializes in high-quality carbon and low-alloy steel coils, hot-rolled plates, cold-rolled sheets, cold-rolled coils, as well as steel straps, tin plates, formed sections.
Main consumers are producers of welded pipes, enterprises of automotive, transport, agricultural engineering, producers of household appliances.
“Zaporizhstal is currently in the process of integration into Metinvest Group the main shareholders of which are CJSC “System Capital Management” (71.24%) and Smart Holding group of companies (23.76%).
Metinvest Holding LLC is the management company of Metinvest Group.

, ,

“Metinvest” cuts steel production by 75% in January-March

“Metinvest in January-March of this year reduced steel production by 75% compared to the same period last year – to 491 thousand tons, according to a press release from the parent company Metinvest B.V. on Friday evening.
According to it, pig iron production was also down 75% to 448,000 tons, coke production was down 59% to 318,000 tons, but merchant coke production was up 1% to 213,000 tons.
It is specified that this year the steel and iron smelting was carried out on “Kametstal”. In connection with the beginning of a large-scale military aggression by the Russian Federation against Ukraine, on February 24, 2022, Metinvest decided to suspend the production activities of a number of its enterprises in Mariupol, Avdiivka and Zaporizhia, including Azovstal, Illich Iron and Steel, Avdiivka Coke and Zaporizka Coke. Later, the group’s Zaporizhia companies resumed production. In turn, the assets of the group’s enterprises in Mariupol and Avdyivka suffered as a result of hostilities, while Mariupol is currently under temporary occupation.
It is also reported that the Ukrainian enterprises of the group, except for those located in Mariupol and Avdeevka, continue to operate at different levels of utilization, taking into account security factors, availability of electricity supply, as well as logistical and economic factors
In Q1 2023 iron production increased by 66% q-o-q mainly due to an increase in operating hours of both blast furnaces at MK Kametstal after the plant’s emergency shutdown due to lack of power supply in late November, with gradual resumption in December, as well as stabilization of the situation with power supply since late January. As a result, steel production increased by 96% q-o-q.
Q1 2023 iron and steel production figures are 75% lower than in the same period last year due to the shutdown of the Mariupol mills from the end of February 2022, as well as the transition to operating two blast furnaces instead of three at Kametstal.
In the 1st quarter of 2023 the production of commercial semi-finished products amounted to 282 thousand tons, which is twice as much as in the previous quarter due to the increase of liquid iron production, but 46% less than the same period last year due to the absence of production at the Mariupol blast furnaces from the end of February 2022.
In January-March 2023, the output of finished products increased by 28% quarter-on-quarter to 547 thnd mt. Production of flat products was up by 67,000 tonnes to 285,000 tonnes, mainly due to an increased order book for hot-rolled plates at rolling mills in Italy and the UK; production of long products was up by 53,000 tonnes to 262,000 tonnes due to higher steel production on the back of stabilized electricity supply at Kametstal.
In Q1 2023 production of finished products decreased by 63% compared to the same period of 2022, as flat products output decreased by 828 thousand tonnes – due to the shutdown of Mariupol integrated works from late February 2022, as well as due to the change in order book in favor of hot-rolled thick plates at Ferriera Valsider in Italy. In addition, production of long products decreased by 66 thousand tonnes – mainly as a result of production stoppages at Azovstal from the end of February 2022 and lower finished products output at Kametstal against the background of unstable electricity supplies compared to the same period last year.
There was no production of rail and pipe products, as the products were produced at the Mariupol mills.
In Q1 2023 coke output increased by 12% quarter-on-quarter, the main reason being the resumption of coke production at Kametstal after an emergency shutdown due to a lack of power supply in late November 2022. At the same time, coke output in this period decreased by 59% compared to 1Q2022 due to stoppage of production at Azovstal and AVDKHZ from the end of February 2022.
As previously reported, Metinvest in 2022 decreased steel output by 69% YoY to 2.918 million tons, iron output by 72% to 2.743 million tons, coke output by 64%, to 1.653 million tons, including marketable coke by 49%, to 811 thousand tons.
“Metinvest consists of mining and metallurgical enterprises in Ukraine, Europe and the USA.
The major shareholders of Metinvest are SCM Group (71.24%) and Smart Holding (23.76%) that jointly manage the company.
Metinvest Holding LLC is the management company of Metinvest group.

,

Ukrainian steelmakers reduce steel production 6.5 times

Metallurgical enterprises in Ukraine in January this year reduced steel production 6.5 times compared to the same period in 2022 – to 284 thousand tons from 1.851 in January-2022, but increased smelting compared to December-2022, when 106 thousand tons were smelted.
As a result, Ukraine took 34th place in the ranking of 64 major global producers of these products, compiled by the Worldsteel Association (Worldsteel), while in December it was 38th.
According to Worldsteel, in January-2023 there was a decline in steelmaking against January-2022 in most of the top ten countries, except China and Iran.
The top ten steel-producing countries in January are as follows: China (79.450 million tons, up 2.3% over January-2022), India (10.930 million tons, down 0.2%), Japan (7.222 million tons, down 6.9%), USA (6.497 million tons, down 6.8%), Russia (5.750 million tons, down 8.9%), South Korea (5.477 million tons, minus 9.8%), Germany (2.925 million tons, minus 10.2%), Brazil (2.783 million tons, minus 4.9%), Iran (2.7 million tons, up 27.7%) and Turkey (2.605 million tons, down 17.6%).
Overall, global steelmaking fell 3.3% to 145.252 million tons in January 2023 from the same period in 2022, compared to a 10.8% decline in December 2022, with an absolute figure of 140.695 million tons.
The country produced 313 thousand tons of steel in November 2022, 318 thousand tons in October, 340 thousand tons in September, 366 thousand tons in August, 281 thousand tons in July, 295 thousand tons in June, 308 thousand tons in May, 281 thousand tons in April, 200 thousand tons in March, 1.374 million tons in February and 1.851 million tons in January.
As reported, metallurgical enterprises in Ukraine reduced steel production in December last year by 16.4 times, or 93.9%, compared to the same period in 2021 – up to 106 thousand tons.
For the 12 months of 2022, the top ten steel producing countries were as follows: China (1.013 billion tons, down 2.1%), India (124.720 million tons, up 5.5%), Japan (89.235 million tons, down 7.4%), USA (80.715 million tons, “minus” 5.9%), Russia (71.5 million tons, down 7.2%), South Korea (65.865 mt, minus 6.5%), Germany (36.849 mt, minus 8.4%), Turkey (35.134 mt, down 12.9%), Brazil (33.972 mt, down 5.8%) and Iran (30.593 mt, up 8%).
Ukraine in 12 months of 2022 was in 23rd place with the melting of 6.263 million tons of steel (“minus” 70.7%).
In total, 64 countries produced 1 billion 831.467 million tons of steel in 2022, which is 4.3% less than in 2021.

,