facebook.com facebook.com
Interpipe

Monthly revenues of Ukrainian pipe exporters decreased by 24.3% m/m

In July 2023, pipe companies of Ukraine reduced their exports of products by 24.5% compared to June 2023 – to 22.73 thousand tons. Revenue from pipe exports decreased by 24.3% m/m – up to $37.5 million. This is evidenced by data State Customs Service.

Compared to July 2022, in July 2023, Ukrainian pipe enterprises reduced their revenue from product sales by 26%. Export volumes fell by 26.1% y/y.

According to the results of January-July 2023, Ukraine exported 220.2 thousand tons of pipes worth $391.9 million. Revenue from sales of products abroad fell by 1.9% compared to the same period last year, and export volumes decreased by 6.1%.

Most of all, in January-July 2023, Ukraine exported seamless pipes, tubes and hollow profiles (Nomenclature 7304) – 177.3 thousand tons for $354.9 million. In July, 16.9 thousand tons of such products were shipped (-41.8% y/y) by $32.5 million (-52.1% y/y).

Also, during January-July, 41.8 thousand tons of other pipes, tubes and hollow profiles made of ferrous metals (Nomenclature 7306) were shipped abroad for $35.01 million, including 5.7 thousand tons in July (+3, 8 times y/y) by $4.9 million (+82.1% y/y).

The main consumers of Ukrainian pipes are Germany, USA, Romania and Poland.

In 2022, the pipe companies of Ukraine produced 608 thousand tons of pipes, which is 38% less compared to 2021. Last year, the enterprises of the association Ukrtrubprom reduced the production of pipe products by 37.9% y/y – to 449.7 thousand tons.

The production capacity of the industry was affected by logistical problems, as well as strikes on energy infrastructure facilities and, as a result, restrictions on the supply of electricity at the end of last year. Pipeline companies exported products through western border crossings and European seaports, which increased logistics costs by 2-3 times and affected the cost price of pipe products.

As a result, the export of pipes from Ukraine decreased in 2022 by 33.6% year-on-year – to 400.4 thousand tons. In monetary terms, exports for this period amounted to $688.5 million, which is 10.1% less than in 2021.

The main producers of pipes in Ukraine are Interpipe NIKO TUBE LLC, Interpipe NTRP, DMZ Kominmet, Ilyich Iron and Steel Works of Mariupol, Interpipe NMPP, Trubostal, Centravis, Dnipropetrovsk Pipe Plant and Slavsan.