Запоріжсталь Запоріжсталь

In January-November 2022, the plant reduced the production of rolled products by 57.5% y/y – to 1.25 million tons

In November 2022, Zaporizhstal Iron and Steel Works reduced the production of rolled products by 73.5% compared to the same month of 2021 – to 74.4 thousand tons. This is stated the press release of enterprise.

The volume of pig iron production in November decreased by 61.3% compared to November 2021 – to 143.9 thousand tons. Steel output fell by 74.2% over the month – to 85.8 thousand tons.

Compared to October 2022, in November, steel production at the plant decreased by 29.5%, pig iron – by 8.3%, and rolled products – by 26.5%.

In January-November 2022, the output at Zaporizhstal decreased by 57% year-on-year – to 4.535 million tons.

  • pig iron – 1.868 million tons (-53.1% compared to January-November 2021);
  • steel – 1.420 million tons (-60%);
  • rolled products – 1.247 million tons (-57.5%).

GMK Center

“The decline in production compared to the same period last year is associated with a shortage of raw materials and logistical problems caused by full-scale military operations on the territory of Ukraine. In addition, due to ongoing missile attacks on energy infrastructure facilities and, as a result, a shortage of capacity in the resulting energy system, the plant reduced production, thus reducing the consumption of purchased electricity,” the company explains.

As GMK Center reported earlier, at the beginning of March, Zaporizhstal was put into hot conservation mode. On March 25, the plant partially resumed the operation of the units of the cold rolling shop – skin-pass mills 1700-1 and 1700-2, as well as slitting unit №5. On April 6, two blast furnaces № 3 and №4 were put into operation, and later pig iron smelting was restarted.

After that, the plant announced its intention to launch the blast furnace №3 in August. After the launch of the third blast furnace, the plant’s capacity utilization was to reach 75%. But at the end of June, Zaporizhstal was considering the option of reduction in production due to significant problems with logistics and the inability to ship products to consumers in Europe. The shelling of the energy infrastructure by the Russian troops was added to the above factors.

In 2021, Zaporizhstal increased pig iron production by 0.1% compared to 2020 – to 4.5 million tons. Steel production decreased by 0.1% – to 3.8 million tons, while the production of rolled products remained at the level of the previous year – 3.2 million tons.