In 2024, Ukraine could increase steel manufacture to 7-8 million tons from 6.2 million tons in 2023, experts say.
According to Denis Sakva, Dragon Capital senior analyst, at present the remaining Ukrainian enterprises can produce 11-12 million tons of steel per year. Thus, the last year output of 6.3 million tons is slightly higher than half of these capacities.
“Last year, Metinvest enterprises operated at around half of their capacities. Thus, Kametstal operated two blast furnaces out of three and Zaporizhstal – three out of four. They can increase output by 25-30%. Interpipe last year produced 800 thousand tons with the pre-war volume of 1 million tons, so the growth potential is also limited. The only company that can considerably increase manufacture is ArcelorMittal Kryvyi Rih, which last year produced 1 million tons of steel, while its capacity is 5 million tons,” he said.
He believes the increase in steel output will stimulate opening sea logistics, which will allow Ukrainian metal companies returning to their old sales markets on the Near East and North Africa. Moreover, steel consumption increase is expected in the European Union, which has become the main sales market for Ukrainian metal since the start of the Russian full-scale invasion. (Ukrainian metal)