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Steel production at Ukraine’s largest producer Metinvest was 18.7 kt per day (or 580 kt per month) in May, a 19.7% m/m jump, according to Concorde Capital’s analysis of separate news reports by Interfax-Ukraine. Ilyich Steel reported a 13.7% m/m gain in steel production to 8.9 kt per day, while Azovstal’s output advanced 25.6% m/m to 9.8 kt per day in May. The holding's hot iron output increased 12.8% m/m to 20.5 kt per day. In 5M20, Metinvest's steel output was 3.22 mmt (21.2 kt per day), or 5.2% less y/y. In the first 17 days of June, the daily average of 22.2 freight trains traveled the Komysh-Zorya–Volnovakha railway section heading to Mariupol, according to the website of the Center for Transport Strategies (CFTS), which is 29% more than the daily average for May.
The hot iron and steel daily production rate at Ukraine’s largest producer Metinvest might advance 15-25% m/m in June, according to Concorde Capital’s analysis of data on freight train traffic to Mariupol, as provided by the Center for Transport Strategies (CFTS) on its website. In the first 29 days of June, a daily average of 21.2 freight trains traveled the Komysh-Zorya–Volnovakha railway section towards Mariupol, according to the CFTS website, which is 23% more m/m. In May, the daily average number of freight trains heading to Mariupol was or 6% more m/m. The same month, Metinvest’s daily hot iron production advanced 13% m/m and its daily steel output jumped 20% m/m. Both of 17.2, Metinvest’s steelmaking plants are located in Mariupol.
The rise in Ukraine FOB prices for the types of steel products exported by Metinvest Ukraine’s largest producer, accelerated during May 29-June 5, according to Metal Expert, an industry consultancy. Billet prices advanced 4% w/w to $363/t on June 5, 4% above their 2019 low of $350/t on October 4 and 12% below their 1Q20 high of $410/t on January 10. Slab prices inched up 1% w/w to $353/t on June 5, 5% above their 2019 low of $335/t on November 1 and 16% below their 1Q20 high of $420/t on January 17. HRC prices jumped 7% w/w to $393/t on June 5, 8% above their 2019 low of $365/t on October 25 and 18% below their 1Q20 high of $478/t on February 21. Pig iron prices (Metal Expert’s FOB Black Sea assessment for a group of countries that includes Ukraine) added 2% w/w to $300/t on June 5, 5% above their 2019 low of $285/t on November 1 and 10% below their 1Q20 high of $333/t on March 20.
Ukraine FOB prices for the types of steel products exported by Metinvest, Ukraine’s largest producer, were stable during June 12-19, according to Metal Expert, an industry consultancy.
Billet prices slid 1% w/w to $368/t on June 19, 5% above their 2019 low of $350/t on October 4 and 10% below their 1Q20 high of $410/t on January 10.
Slab prices inched up 1% w/w to $370/t on June 19, 10% above their 2019 low of $335/t on November 1 and 12% below their 1Q20 high of $420/t on January 17.
HRC were unchanged at $408/t on June 19, 12% above their 2019 low of $365/t on October 25 and 15% below their 1Q20 high of $478/t on February 21.
Metal Expert did not provide a price assessment for pig iron for June 19. Metal Expert’s pig iron prices (FOB Black Sea for a group of countries that includes
77 UKRAINE Country Report July 2020 www.intellinews.com
