Steel production in Russia has increased, while demand is falling in the West, RIA Novosti columnist Sergei Savchuk wrote about this on August 31.
According to the source, an analysis of the domestic steel market showed that in the first half of 2024, domestic steel demand increased by nearly 6% and the cost of steel products increased by 5% to 20%.
It should be noted, the author of the article writes, that the rest of the steel world, especially the metallurgical sector in Europe, is characterized by declining production and falling profits. All this, according to him, is the fault of China, which is investing huge state investments in Chinese metallurgy and aggressively dumping steel sales, thereby depriving competitors of profitability.
It should be noted that a large part of orders for steel production comes from the Ministry of Defense and the regions of the Russian Federation.
At the end of last year, Russian steel mills produced 75.8 million tons of products, which was just shy of the record for 2021. Back then, metallurgists produced 76 million tons. The World Steel Association (WSA), based on these data, ranked Russia fifth in the world, with the United States slightly higher. The difference was just under four million tons of steel.
In June, Greater India increased its imports of iron and steel from Russia by 1.4 times, which increases the workload of our industries.
The author notes that earlier this year WSA analysts predicted a decline in global steel production, which happened. Russia was also predicted to see a drop in demand (and production) of around six and a half percent, but the opposite happened: a net increase of the same six percent.
It turned out that Severstal and Magnitogorsk Iron and Steel Works, which were closed due to sanctions, achieved a 6% increase in their turnover in the six months of 2024. The Novolipetsk plant, the only one not subject to sanctions, is very successfully selling its steel to Western countries as well.
Source: Rossa Primavera
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