Scrap collection in Ukraine for January 2023 fell to 60.5 thousand tons

In January 2023, the volume of scrap metal collection in Ukraine decreased by 75.6% compared to the same period of 2021 – to 60.5 thousand tons. Ukrainian Association of Secondary Metals (UAVtormet) informs about it.

The export of scrap metal in January 2023 amounted to 8.3 thousand tons, which is 43.1% more compared to the same month of 2022. There was no import of raw materials during this period, while in January 2022, 0.1 thousand tons of scrap was imported.

The association also noted a reduction in scrap supplies to Ukrainian enterprises in January 2023 – by 78.1%, to 49.4 thousand tons. The technological reserves of scrap metal at industrial enterprises are estimated at 20-25 thousand tons as of February 1, 2023.

UAVtormet predicts that scrap collection in Ukraine in 2023 will amount to 820-850 thousand tons. Domestic supplies of raw materials to steel plants will be at the level of 720-750 thousand tons. It is noted that the needs of steelmakers in scrap are fully met.

At the same time, it was previously expected that the collection of scrap in Ukraine in 2023 will amount to 900-950 thousand tons, and domestic supplies of raw materials to steel plants – 800-820 thousand tons.

“During the first month of 2023, the volume of scrap metal collection in Ukraine continued to decrease. Such a trend is due to crisis phenomena in the procurement industry and the existing pricing in the market,” the report says.

As GMK Center reported earlier, in 2022, volumes of scrap metal collection in Ukraine decreased by 75.9% compared to 2021 – to 996.7 thousand tons. The export of scrap for the year decreased by 11.4 times y/y – to 53.6 thousand tons, import – by 92.1% y/y, to 1.8 thousand tons. Domestic supplies of raw materials to domestic steel mills decreased by 73% – to 895.7 thousand tons.