Ukraine reduced pig iron exports by 58% m/m in October

In October 2023, Ukrainian steel companies reduced the export of pig iron by 57.9% compared to the previous month – to 52.99 thousand tons. In monetary terms, pig iron deliveries abroad during this period fell by 64.9% m/m – up to $17.45 million. This is evidenced by State Customs Service’s data.

Compared to October 2022, in October 2023, the export of pig iron in physical terms decreased by 26.7%, and in monetary terms – by 26.5%.

Thus, pig iron exports fell sharply again after recovering to a stable monthly average in September. The drop in exports is probably due to the unfavorable situation in the EU market – the main export market for the Ukrainian steel industry. Shutdowns of steel enterprises in the EU amid weak demand for steel reduced the consumption of Ukrainian-produced pig iron.

In January-October 2023, Ukraine exported 1.11 million tons of pig iron worth $423.4 million. Export volumes decreased by 3.2% compared to the same period in 2022, and revenue decreased by 26.3%.

The main consumer of Ukrainian pig iron in January-September 2023 was Poland (53.6%). The share of Spain in the total volume of exports was 22.6%. In third place is the USA – 6.2%. Before the war, the USA consumed more than half of the iron exported from Ukraine.

As GMK Center reported earlier, in 2022, Ukrainian steel companies reduced the export of pig iron by 59% compared to 2021 – to 1.32 million tons. The income of steelmakers from the export of pig iron last year amounted to $638.8 million, which is 61.1% less than in 2021. The main consumer of raw materials was the USA – 38.47% of the total volume of exports.