Ukrainian pipe companies reduced product exports by 6.7% y/y in November

In November 2023, Ukrainian pipe companies reduced their exports by 6.7% compared to November 2022, to 28.1 thousand tons. Revenues from pipe exports fell by 27.7% y/y – to $38.86 million over the month. This is according to the State Customs Service.

Compared to October 2023, in November 2023, Ukrainian pipe companies increased their revenue from product sales by 1.8%. Exports increased by 0.5% y/y.

In January-November 2023, Ukraine exported 333.49 thousand tons of pipes worth $555.59 million. Revenues from sales abroad fell by 13.9% year-on-year, while exports decreased by 11.8%.

In January-November 2023, Ukraine exported the most seamless pipes, tubes and hollow profiles (HS 7304) – 262.99 thousand tons for $496.6 million. In November, 19.36 thousand tons of such products were shipped (-12.3% m/m) for $31.48 million (-8.7% m/m).

In January-November, the company shipped 68.66 thousand tons of other ferrous metal pipes, tubes and profiles (HS 7306) abroad for $57.49 million, including 8.6 thousand tons (+57.3% m/m) in November for $7.29 million (+77.3% m/m).

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

In 2022, Ukrainian pipe companies produced 608 thousand tons of pipes, down 38% compared to 2021. Last year, the enterprises of Ukrtrubprom Association reduced the output of pipe products by 37.9% y/y – to 449.7 thousand tons.

The industry’s performance was affected by logistical problems, as well as by the damage to energy infrastructure and, as a result, the electricity supply curtailment at the end of last year. Pipe companies exported products through western border crossings and European seaports, which increased logistics costs by 2-3 times and affected the cost 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 Slavsant.