Ukraine: all metal works against railroad tariff rise
Management of the major Ukrainian mining and metal companies has addressed the government asking it to impose a moratorium on the railroad cargo transportation tariffs increase.
Management of the major Ukrainian mining and metal companies has addressed the government asking it to impose a moratorium on the railroad cargo transportation tariffs increase.
The Ministry of infrastructure plans to increase railroad transportation tariffs by 30% in 2016. This will lead to the further recession in Ukrainian economy.
Metinvest-SMC, the Metinvest metal center network, believes rolled metal consumption in 2016 would increase by 2.6% YoY, to 3.35 million tons.
In January-September Ukrainian metal companies decreased their domestic sales by 21.7% YoY, to 1.96 million tons (13.1% of the total output) from 2.5 million tons (13.3%) in January-September 2014.
Russian embargo on Ukrainian products will mostly affect agriculture and metal sector.
In January-October Ukraine decreased its industrial output by 15.4% YoY.
In October industrial products price index totaled 97.6% as opposed to 102% in September. This is without the temporarily occupied territories of Crimea and the ATO zone.
In September Ukraine increased metal output by 3% YoY, according to the National bank recent report. The bank analysts have dubbed this “the breaking of falling tendency in metallurgy” and connected it to the ceasefire in the ATO zone.