Magnitogorsk Iron and Steel Works (MMK) delivered more than 314,000 tonnes of steel products to the automotive industry in the first half of 2019, exceeding the previous year’s figure for the same period by 23%.
The share of shipments to the automotive industry in the first six months of this year amounted to 7.5% of MMK’s supplies to the domestic market. The first half of this year saw significant increases in the supply of Magnitogorsk metal to such automakers as AVTOVAZ, UAZ and Volkswagen. MMK is a leading supplier of steel products from ferrous metals to automobile plants and related enterprises that produce automotive components. The company supplies cold-rolled and hot-dip galvanised steel to all major Russian companies in the industry, as well as to foreign automakers localising their capacities in Russia. At the same time, MMK’s share within the structure of metal consumption in many enterprises of the automotive industry reaches 50-80%.
An important step in the expansion of MMK’s presence in the steel market for the automotive industry was the commissioning in 2011-2012 of the modern cold rolling complex in the sheet rolling shop No. 11 – Mill 2000. The launch of the complex allowed MMK to compete closely with foreign manufacturers. The technological features of the complex have made it possible to meet the most stringent requirements for the surface quality of cold-rolled and hot-galvanized steel, to provide high tolerances in thickness, and to produce high-strength IF-HS, HSLA, BH and DP steel that is in demand among automakers and automotive component manufacturers. In 2018, the supply of MMK steel products to the automotive industry amounted to almost 550,000 tonnes, which became a record figure for the company. This year, MMK plans to surpass the mark of 600,000 tonnes of metal products shipped to the automotive industry.
About MMK
MMK is one of the world’s largest steel producers and a leading Russian metals company. The company’s operations in Russia include a large steel-producing unit encompassing the entire production chain, from the preparation of iron ore to downstream processing of rolled steel. MMK turns out a broad range of steel products with a predominant share of high-value-added products. In 2018, the company produced 12.7 mln tonnes of crude steel and 11.7 mln tonnes of commercial steel products. MMK Group had sales in 2018 of USD 8,214 mln and EBITDA of USD 2,418 mln.
(Ukrainian metal)