Ukraine increased the import of flat products in 2023 by 2.4 times

The need to import flat products is directly related to the destruction of two plants in Mariupol, which were occupied

Over the four months of 2023, Ukraine increased imports of flat products by 2.4 times y/y – up to 232.4 thousand tons. Over the same period, importers’ revenue increased by 68.8% – up to $ 275.8 million. For comparison: the volume imports of flat products in 2022 decreased by 32.8% y/y – to 472 thousand tons, the cost of imports decreased by 23.9% – to $ 698.8 million.

The situation with the import of long products is the opposite: deliveries in physical terms in January-April 2023 decreased by 24% y/y – to 30.3 thousand tons, the value of imports – by 35.6% y/y, to $ 37.3 million. In fact, the negative dynamics continues from last year, when imports of long products fell by 70.5% y/y – to 96 thousand tons, the value of imports – by 60.6% y/y, to $113.7 million.

The need to import flat products is directly related to the destruction of two Mariupol plants that were in uncontrolled territory. At the same time, the demand for long products is not as great as for flat products, since long products are mainly used in construction, and this area is unlikely to show positive dynamics before the end of the war.

The most demanded types of imported flat products in Ukraine in 2023 (January-April)

Type of flat products	thousand tons	%
7210 Flat-rolled products of non-alloy steel, width 600 mm or more, coated	116.8	50.3
7208 Flat-rolled products of non-alloy steel, width 600 mm or more, hot-rolled, uncoated	73.7	31.7
7209 Unalloyed steel flat products, 600 mm or more wide, cold rolled, uncoated	20.6	8, i

The most demanded types of imported long products in Ukraine in 2023 (January-April)

Type of flat products	thousand tons	%
7214 Other rods and bars of non-alloy steel, twisted	18.1	59.8
7228 Other rods and bars of other alloy steels; hollow rods and bars for drilling	5.4	18.0
7229 Wire of other alloy steels	2.2	7.2

Most imports came from European countries. In the total volume of import deliveries of flat products in 2022 and in January-April 2023, the share of European suppliers amounted to 46.6% and 27%, for long products – 44.4% and 46.6%, respectively. Despite the overall decline in imports of flat products in 2022, deliveries of these steel products from Europe to Ukraine increased by 22% y/y – up to 220.4 thousand tons. At the same time, imports of European long products decreased by 46.9% y/y – to 26 thousand tons.

After the end of the war, Ukraine has every chance of becoming a net importer of steel, since domestic production will not be able to cover the needs of post-war reconstruction. Amid this, European producers will first of all be able to increase the supply of their products to Ukraine.