Sales to the EU market increased by 29% over the year
In 2020, Interpipe cut sales of railway products (wheels, tires, axles and wheel pairs) by 5.4% to 192.4 thousand tons against 2019, according to the Company’s press release.
Sales of railway products to the CIS markets in 2020 decreased by 10% to 84 thousand tons. The reason was the re-imposition of anti-dumping duty on exports of Ukraine-made wheels to the Customs Union and a reduction in freight traffic due to the coronavirus pandemic.
A crisis in Ukraine’s rail car building triggered a 42% decrease in shipments of railway products to the domestic market, to 26 thousand tons.
At the same time, sales of railway products to the EU market reached a record of 67 thousand tons in 2020, 29% up from 2019.
“These indicators were attained through an increase in production of new products for freight transport, and an entry to the passenger railway wheels segment, in particular for trains of Deutsche Bahn’s high-speed rail service,” reads the message.
In 2020, production of round steel billets amounted to 758.7 thousand tons, 11% down from 2019. A decline is due to a fall in demand for finished products.
As GMK Center reported earlier, in 2019, Interpipe ramped up revenue by 4% to $1.112 billion against the previous year due to a gain in sales of railway products. Interpipe’s EBITDA grew by 64% to $259 million, capital investment by 37% to $60 million.
Interpipe is an international, vertically integrated pipe and wheel company, one of the top 10 global manufacturers of seamless pipes and one of the top 3 manufacturers of railway wheels.