Steel production

The production of rolled products increased by 33.6% m/m, the production of pig iron – by 10.7% m/m

In July 2023, steel enterprises of Ukraine increased the production of steel by 37.5% compared to the previous month – up to 601 thousand tons. This is evidenced by Ukrmetalurgprom’s data.

Pig iron production in July increased by 10.7% compared to June of the current year – up to 538,000 tons. Production of rolled products amounted to 525,000 tons, which is 33.6% more than in June.

In January-July 2023, compared to the same period last year, Ukrainian steelmakers showed the following results:

  • production of pig iron – a decrease of 29.9%, to 3.37 million tons;
  • steel smelting – a decline of 28.8%, to 3.43 million tons;
  • production of rolled goods – a decrease of 31.5%, to 2.9 million tons.

The positive result of the industry in July was largely shaped by the improvement of Zaporizhstal’s production indicators. In July steel plant increased production of rolled products by 48.7% compared to the previous month – up to 196.1 thousand tons, production of pig iron – by 31.6% m/m, up to 262 thousand tons, steel smelting – by 51% m/m, up to 240.7 thousand tons. In particular, the increase in the indicators of Zaporizhstal is connected with the removal of blast furnace №2 from hot preservation mode and the adjustment of the operating mode of three blast furnaces.

The dynamics of production of steel enterprises in July is better than in June by all indicators. Steelmakers in June 2023 reduced production of rolled products by 16.4% compared to May – to 393 thousand tons, pig iron smelting increased by 19.4% – up to 486 thousand tons, steel production increased by 25% – up to 437 thousand tons.

As GMK Center reported earlier, in 2022, steelmakers of Ukraine reduced steel smelting by 70.7% compared to 2021 – to 6.26 million tons. Production of rolled products fell by 72% y/y – to 5.35 million tons, and pig iron smelting fell by 69.8% y/y – to 6.39 million tons.