Ukrainian steelmakers produced 447 thousand tons of rolled steel in February

In February 2024, Ukrainian steel enterprises reduced production of rolled metal products by 1.3% compared to the previous month – to 447.2 thousand tons. This is evidenced by data from Ukrmetallurgprom.

Steel production for the month amounted to 531.9 thousand tons, which is 2.2% less compared to January this year, and pig iron production amounted to 495.7 thousand tons (-10.6% m/m).

Compared to February 2023, in February 2024, rolled products production increased by 34.9%, steel production – by 25.5%, and pig iron production – by 40.2%. The sharp year-on-year growth reflects a low comparison base, as at the beginning of last year, domestic steelmakers were adjusting to the suspension of production due to limited energy supply as a result of Russian shelling of Ukraine’s critical energy infrastructure.

In January-February 2024, Ukrainian steelmakers increased rolled steel production by 52.9% year-on-year – to 900.2 thousand tons, steel production – by 52%, to 1.08 million tons, and pig iron production – by 42.4%, to 1.051 million tons.

As GMK Center reported earlier, in 2023, Ukrainian steelmakers increased rolled steel production by 0.4% compared to 2022, to 5.37 million tons. Pig iron production during the year amounted to 6 million tons, down 6.1% compared to 2022, and steel production amounted to 6.23 million tons (-0.6% y/y).

The domestic steel industry has increased or approached the levels of 2022, where the bulk of production was in pre-war January-February. Companies are gradually adapting to doing business, but limited logistics capabilities still have a negative impact on performance.

Exports of rolled steel products in 2023 amounted to 1.78 million tons, while in 2022 they amounted to 2.47 million, and in 2021 – 8.34 million tons. Imports of the relevant products reached 1.18 million tons last year, 621.6 thousand tons in 2022, and 1.12 million tons in 2021.