Metinvest, Ukraine's largest exporter of steel products and iron ore raw materials, continues to develop production despite the war. Yuriy Ryzhenkov, CEO of the Ukrainian steelmaker Metinvest Group, spoke about the company's future plans, new investments, and decarbonisation strategy. During the two years of war, the group has established production of about 50 new types of products and plans to produce slabs at Zaporizhstal and Kametstal for European plants. Additionally, as part of the 'green transformation', it is planned to modernise the Zaporizhstal and Kametstal plants, as well as to turn the Krivuy Rykh mining and processing plant into a centre for the production of high-quality pellets. However, this will require significant investments within 5-10 years after the end of the war.
Before the war, 25% of steel products were sold domestically, 46% in Europe, and the rest in other markets. In 2023, a quarter of products were sold in Ukraine and more than 50% were exported to Europe. After the opening of the Black Sea corridor, Metinvest started deliveries to Southern Europe, Türkiye, Egypt, and China. In 2024, the company plans to increase exports to North Africa and Türkiye.
Metinvest is actively expanding its markets, including Türkiye, where the company has already established strong business ties and continues to strengthen cooperation. Earlier, Ryzhenkov mentioned the North African and Turkish markets as key for the company. Metinvest is actively developing its own supplies and entering into alliances with local producers who can make final products to be supplied to neighbouring markets.
Metinvest is also planning for a carbon-free future by building a green steel plant in Italy. This plant will compensate for the loss of Mariupol production and increase the utilisation of Ukrainian mining and processing plants. The Piombino plant will be one of the most technologically advanced and environmentally friendly facilities, significantly reducing the deficit of steel products in Italy. Construction is expected to last 2-3 years.
At the same time, Turkish investment company Ussuri Capital, founded by Roman Kurashev, who held various positions in the management of Metinvest Group from 2006 to 2021, is also making significant steps towards strengthening its market position. Ussuri Capital announced its intention to build a new steel plant in Romania. In the first stage, the company plans to invest EUR 160 million in a complex that includes pickling lines with a capacity of 400,000 tonnes per year and cold rolling and hot-dip galvanising lines with capacities of 250,000 tonnes per year. The second phase, scheduled for 2027-2030, involves the construction of an electric arc furnace and a slab caster with a capacity of 1.2 million tonnes per year. The plant will use local scrap metal reserves as raw materials. The volume of investments at this stage is estimated at 700-800 million euros.
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