Ukrainian steelmakers reduced long rolled products export by 40% y/y in the first half of 2023

In January-June 2023, steel enterprises of Ukraine reduced the export of long rolled products by 39.9% compared to the same period in 2022 – to 253.4 thousand tons. Revenue from exports during this period decreased by 48.7% y/y – to $208.2 thousand tons. This is evidenced by State Customs Service’s data.

In June 2023, Ukraine exported 61.06 thousand tons of long rolled products, which is 5.6% more compared to the previous month, and 28.1% more by June 2022. Revenue from the sale of these products decreased by 1.5% m/m and 28.9% y/y – to $40.5 million.

Since the volume of shipments increased in June compared to May, and the revenue decreased, this indicates a decrease in product prices. Export demand for long-rolled goods probably also decreased, which is confirmed by the slowdown in the dynamics of shipments (+56.9% m/m in May).

Hot-rolled rods and bars (Nomenclature – 7213) were exported the most in 6 months – 119.2 thousand tons for $78.2 million. In June, 24.6 thousand tons (+7.6% m/m; -7.7% y/y) were shipped for $14.9 million (-2% m/m; -40.3% y/y).

61.4 thousand tons of carbon steel wire (Nomenclature – 7217) worth $59.5 million were also exported, in June – 10.8 thousand tons (+4% m/m; +35.3% y/y) for $9.3 million (-4.4% m/m; -13.1% y/y).

Other carbon steel rods and bars, without further processing, twisted (Nomenclature – 7214) – 39,000 tons for $23.8 million in June 2023 are the top three leaders in terms of export volumes from Ukraine in January-June 2023. companies reduced the export of such products by 28.5% compared to the previous month, but increased by 99.8% y/y – up to 13.1 thousand tons. Revenue from its shipment fell by 32.3% m/m and grew by 36.5% y/y – up to $10.9 million.

The largest consumers of Ukrainian hot-rolled rods and bars in 6 months of 2023 are Romania and Poland – 47.3% and 26.4%, respectively, in monetary terms. Poland (37.9%) and Germany (21.2%) consumed about 60% of Ukrainian-made wire. Among the main buyers of other rods and bars are Iraq (33.8%), Moldova (28.3%), and Romania (16.9%).

As GMK Center reported earlier, in 2022, steel enterprises of Ukraine reduced the export of long rolled products by 59.7% compared to 2021 – to 748.95 thousand tons. The revenue of steelmakers from the export of such products fell by 55% y/y – to $693.53 million. The most exported hot-rolled bars and rods in bundles (Nomenclature – 7213) – 406.6 thousand tons for $310 million, which is 56.1% and 54.2% less, respectively, compared to the indicator of 2021.