Business news from Ukraine

ZAPORIZHSTAL CONTINUES TO WORK AT 50% OF ITS CAPACITY, EXPERIENCES DIFFICULTIES WITH LOGISTICS – CEO

27 June , 2022  

Zaporizhstal metallurgical plant, part of Metinvest, after a partial resumption of production, continues to operate at 50% of its capacity, Oleksandr Myronenko, general director of Zaporizhstal, said in an interview with the Segodnya newspaper.
According to him, there are currently problems with logistics – the supply of raw materials and the shipment of finished products.
At the same time, it is noted that due to significant problems with logistics and overstocking of railway crossings, Zaporizhia metal enterprises are forced to consider options for reducing production.
“Problems with logistics have not been resolved. We have significant problems with the shipment of our products to customers in the EU. Before the war, all our routes passed through ports, but they are not yet available. Now we have significant overstocking at border crossings in western Ukraine. All this forces us to consider the option of reducing production, because our products simply cannot be transported across the border,” Myronenko explained.
He noted that the leaders of the enterprise are doing everything possible to maintain the volume of exports and the inflow of foreign currency into the country, in particular, they provide additional equipment for reloading products at the border with the European Union. In addition, together with the Cabinet of Ministers, they are looking for ways to solve problems with logistics.
Earlier, other enterprises of the country announced problems with logistics.
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 of the world.

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