The results of the mining and metallurgical complex of Ukraine for 8 months of 2020 indicate that the industry remains in a difficult situation caused by the crisis in the global steel market, aggravated by the coronavirus pandemic. This was reported by the Ukrmetallurgprom Association of Enterprises.
The main reasons for the decline in the production of the main types of metallurgical products, along with the global quarantine, are still state protectionism in traditional Ukrainian metallurgy export countries, lower prices and reduced demand for metal products, the presence of surplus global steelmaking capacities with a capacity of about 440 million tons per year, as well as the unchanged "tariff lawlessness" on the part of national state monopolists (JSC "Ukrzaliznytsia", State Enterprise "Administration of the seaports of Ukraine", Naftogaz, etc.) and a number of destructive legislative and regulatory acts introduced by the Ukrainian authorities. p>
All this is most acutely felt during the global crisis, when the domestic metallurgy is in particular need of state support, first of all, in ensuring a stable and favorable tariff and tax field, providing high-quality service from state transport companies, creating conditions for expanding investments in the real sector and the associated growth in metal consumption, as well as the protection of the interests of Ukrainian producers in foreign and domestic markets.
Help: The Ukrainian mining and metallurgical industry is a leading component of the industrial complex of Ukraine, providing about 26% of foreign exchange earnings, 12% of GDP, more than 30 billion hryvnia deductions to budgets of all levels (at the end of 2019 ) and about 600 thousand jobs (including related industries).
According to the updated data of the Ukrmetallurgprom OP, in January-August 2020, metallurgical enterprises of Ukraine produced:
- agglomerate - 21.28 million tons (100.8% compared to the same period in 2019);
- gross coke (6% wet) - 6.46 million tons (94.0%);
- pig iron - 13.55 million tons (98.8%);
- steel - 13.68 million tons (93.4%);
- rolled products - 12.28 million tons (98.0%);
- pipe products - 0.54 million tons (73.1%).
As of September 11, 2020, of the main operating production facilities, 18 of 21 blast furnaces, 6 of 8 open-hearth furnaces, 10 of 16 converters, 5 of 15 electric furnaces and 16 of 17 continuous casting machines are in operation.