Ukrainian consumers' spending on the import of long-rolled goods increased by 42.2% m/m

In September 2023, Ukraine increased the import of long-rolled products by 76.9% compared to August 2023 – to 16.1 thousand tons. Import costs for the month increased by 42.2% m/m – up to $16.8 million. This is evidenced by State Customs Service’s data.

Compared to September 2022, in September 2023, Ukraine increased the costs of importing long rolled products by 27.7%. Import volumes increased by 40.1%.

In January-September 2023, Ukraine consumed 130.2 thousand tons of imported long-rolled steel worth $138.1 million. The costs of importing foreign products increased by 19.1% compared to the same period last year, and the volume of deliveries – by 25.1%.

In January-September 2023, Ukraine imported the most other twisted bars and rods without further processing (HS 7214) – 50.66 thousand tons for $39.25 million, in September – 4.73 thousand tons (+22.9% m/m) for $3.61 million (+32.5% m/m). Angles, shaped and special profiles made of non-alloy steel (HS 7216) were also imported – 47.32 thousand tons for $41.8 million. In September, 7.53 thousand tons were delivered (+236.3% m/m) for $6.23 million (+159.8% m/m).

Other bars and rods made of alloy steels, hollow bars and rods for drilling made of alloyed or non-alloyed steels (HS 7228) – 12.5 thousand tons for $22.52 million are in third place in terms of the volume of supplies to Ukraine among types of long rolled products. In September, deliveries of such products to Ukraine fell by 19.9% ​​compared to the previous month – to 0.9 thousand tons, and in monetary terms – by 18.2% m/m, to $2.4 million.

The largest suppliers of angles, shaped and special profiles made of non-alloy steel are Turkiye – 67.9% in monetary terms. Among the main exporters of other twisted bars and rods without further processing are Turkiye and Poland – 61.8% and 19.8%, respectively. Germany (43.2%) and Turkiye (19.1%) shipped more than 60% of other alloy steel bars and rods, hollow rods and drill bars of alloy or non-alloy steels.

As GMK Center analyst Andriy Glushchenko predicted earlier, in the long term the import of rolled steel will increase, especially during post-war reconstruction. Imported supplies will become the main source for meeting domestic demand. In the short term, it can be expected that the volume of imports will stabilize at a certain level that will take into account the existing logistical constraints in the conditions of war.

As GMK Center reported earlier, in 2022, Ukraine reduced the import of long rolled steel by 70.5% compared to 2021 – to 96.06 thousand tons. Import costs for the year decreased by 60.6% y/y – to $113.65 million.

Export of long rolled steel from Ukraine in 2022 amounted to 748.95 thousand tons, which is 59.7% less than in 2021. In monetary terms, deliveries of such products fell by 54.3% m/m – to $23.84 million.