Scrap export from Ukraine increased by 3.4 times y/y in 2023

In 2023, Ukrainian scrap companies increased their scrap exports by 3.4 times compared to 2022, to 182.48 thousand tons. Export revenue increased 2.8 times y/y over the year. This is evidenced by the data of the State Customs Service.

In December 2023, Ukraine exported 21.5 thousand tons of scrap, up 52.2% compared to November and 85.4% compared to December 2022. Export revenue for the month amounted to $6.32 million, up 46.3% m/m and 84.4% y/y.

In 2023, imports of scrap to Ukraine decreased by 41.1% compared to 2022, to 1.07 thousand tons. Import costs amounted to $411 thousand (-88.2% y/y).

Last year, the bulk of scrap was exported to Poland and Greece, accounting for 85.4% and 8.9% in monetary terms, respectively. Slovakia and Poland were the main importers of raw materials to Ukraine, accounting for 47.6% and 21%, respectively.

As GMK Center reported earlier, in January-November 2023, scrap collection in Ukraine increased by 27.3% compared to the same period in 2022, to 1.13 million tons. Over 11 months, scrap supplies to Ukrainian steel mills increased by 8.2% y/y – to 910.9 thousand tons.

Most developed countries are in favor of a ban on scrap exports to preserve critical raw materials in the context of green steel industry. The European Union may turn from an exporter to an importer of steel scrap in less than 5 years, as global steel producers switch to electric arc furnaces, so the competition for this raw material will only intensify.

In particular, EUROFEER advocates for the EU to include scrap in the list of critical raw materials, as only equal access to scrap metal will ensure the long-term competitiveness of European steelmakers and help avoid an increase in carbon emissions.