Kremenchuk Steel Works (KSZ, Poltava region) is going to halt its manufacturing processes.
The company planned to fire 1.5-2 thousand employees in October, but due to the worsening of the economical situation redundancy could be greater.
Warehouses are filled with products that no one buys. The company used to supply over 90% of its products to Russia, but now the works stands idle. Because of this employees can’t receive their salary.
KSZ has been idle from 24 February to 30 June, then it has renewed its work for 3 weeks, but from 23 July it has stopped all activity altogether, as Russia has withdrawn its certificates for KSZ’s products.
Kremenchuk Steel Works is the major steel-smelting company of Ukraine. It produces steel castings for railroad cars and trucks.
In 2013 KSZ produced 70.34 thousand tons of castings, down by 48.4% YoY. (Ukrainian metal)
