Russia

Continued supplies from Russia create imbalances in the European market and damage local producers

At the same time, the package retains loopholes in the form of transition periods and extensions of the import ban

European producers continue to buy products from the Russian steel industry, since the current sanctions do not ban imports completely

Italian metallurgists imported 3.8 million tons of pig iron from Russia in 7 months. Another 1.2 million tons of products were delivered to Turkey

Ukrainian steelmakers will not return to pre-war levels for a long time, Russian ones are forced to look for new sales markets

At the same time, rail shipments of Russian steel to Turkiye increased by 12% m/m over the month

Companies will need to prove that the materials used for processing in a third country do not originate in the Russian Federation

Deliveries to Europe in the first quarter of 2023 decreased by 26% y/y

The company has already found potential buyers for its Russian asset

In 2022, steel production in the Russian Federation decreased by 7.2%, and steel consumption – by 5%

The decline in export sales was less than the markets had expected

The export of concentrate fell by 8.5 times y/y, and pellets – by 3.7 times y/y