The consumption of steel products in Ukraine increased to 2.03 million tons in January-July

For 7 months, domestic steel consumption increased by 1.7% y/y

In January-July 2024, Ukraine increased the consumption of metal products (rolled and semi-finished products) by 1.7% compared to the same period in 2023 – up to 2.03 million tons. This is evidenced by the data of OP Ukrmetalurgprom.

In 7 months, 711.6 thousand tons of steel products were imported into Ukraine, which is 5.6% more compared to January-July 2023. Import deliveries make up 35% of the domestic market of rolled steel consumption in the country. The share of the imported component in the domestic consumption of metal products increased by 5.58 percentage points y/y.

The import structure is characterized by a significant dominance of flat rolled products over graded products – 79.38% and 19.04%, respectively. In January-July 2023, the dominance of flat rolled products over graded products was slightly lower, but also noticeable – 78.83% and 20.13%, respectively.

In total, in 7 months, Ukrainian metallurgists produced 3.73 million tons of rolled steel, which is 28.4% more compared to the same period in 2023. 2.41 million tons of steel products were shipped for export, which is more by 61.4% y/y.

1.32 million tons of rolled products and semi-finished products were sent to the domestic market, which is 6.4% less y/y. In January-July, Ukrainian steelmakers reduced the shipment of products to the domestic market, the share of exports in the total volume of manufactured products for 7 months was 35.5%, while a year ago the indicator was at the level of 48.7%.

The specific weight of flat rolled products in export deliveries for 7 months increased to 39.8% against 34.8% a year earlier. The share of rolled products in export deliveries decreased to 13.3% from 19.1%.

As reported by GMK Center, steel enterprises of Ukraine in 2023 increased the production of rolled products by 0.4% compared to 2022 – up to 5.37 million tons. In December, Ukrainian steelmakers increased the production of rolled steel by 1.8% compared to the previous year per month and 4.7 times y/y – up to 508 thousand tons.

The consumption of steel products in 2023 increased by 119.3% compared to 2022 – to 3.506 million tons. Imports amounted to 1.12 million tons (+79.9% y/y), and exports – 2.98 million tons (-31.7% y/y).