Dnipro Metallurgical Plant (DMZ), part of the DCH Steel group, is facing reduced activity on the steel products market. DMZ produces the largest range of sections and angles in Ukraine. In May 2024, DMZ reduced its rolled steel production by 27.3% y-o-y to 7.9 thousand tonnes. However, compared to May 2023, production increased by 7%. In the period from January to May 2024, rolled steel production decreased by 29% year-on-year to 30 thousand tonnes.
The company is currently operating "on stock" as demand has slowed and around 10 thousand tonnes of product is in custody. The slowdown in demand has an impact on the further operation of the plant, as a result of which the next rolling campaigns in both shops are postponed. Negotiations with partners are underway.
Planning of work for the next month depends on the dynamics of product shipment by the end of June. For the time being, the plant is carrying out repairs to be in full readiness for the resumption of production.
Recently, a 13-day campaign was completed in Rolling Shop No. 2. During this campaign the specialists produced standard profiles of channels (from 10 to 30) and angle 125. For the first time, channel 10 was produced from 150x150 billets supplied to DMZ by customers, and about 1 thousand tonnes of channel 10 were rolled.
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