Ukrainian crude steel output stays low in July

2 August 2017

According to Ukrmetallurgprom in July 2017 total Ukrainian steel output made 1.65M tons, which is much lower than in July16 (-20%), but is slightly higher vs. previous month

As a reminder in June Ukrainian steel production made 1.59M tons, which means that in July output slightly grew vs. previous month, though average daily output remains flat and close to minimum values for the last years. Dynamics is represented on the chart below:

Ukrainian daily crude steel output July 2017

In July for certain Ukrainian steel mills situation improved. TOP-news of last weeks launch of production at DMK (this mill has been idle for several latest months). At the end of July DMK produced several thousand tons of pig iron and started steel production, which should positively influence total steel output of Ukrainian mills in August. We also note growth of production figures for Zaporizhstal in July its steel output grew by 17% y-o-y (+11% vs. June).

As for total January-July 2017 output, it made close to 11.9M tons, which is by 18% lower y-o-y (disregarding production of enterprises situated at non-controlled by Ukrainian government territory of Donbass Ukrainian output declined by less than 10%).

Steel pipes production dynamics remains rather good in July pipes output has been flat vs. record-high for the latest years June figure (close to 97k tons, +41% y-o-y). For the whole period of 7m 2017 steel pipes production made 603k tons, by 29% more than in corresponding period of Y2016. Output dynamics during last period of time looked as follows:

Ukrainian steel pipes production July 2017

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