Russian-based Severstal: Export of steel products offsets decrease of domestic demand
2020-06-18 12:02:54 [Print]
Russian-based iron and steel enterprise Severstal Group stated that affected by COVID-19, domestic demand for steel products in Russia would drop by 5-7% in 2020, but the export could help to maintain steel capacity.
Alexey Kulichenko, CEO of Severstal Group, noted that although domestic demand for steel products dropped by 17% YOY in June, the comprehensive operation of iron and steel industry could maintain the normal level. He claimed that the shipments of steel products might decrease slightly in the second quarter compared with the first quarter and the decline of expected price would cut the income.
Kulichenko said that affected by the COVID-19, economic activities slowed down and global steel capacity has moved down by 74 million tons. However, he noted that the export volume of steel products of Severstal Group in the second quarter accounted for 48-50% of output during this period, higher than 45% in the first quarter, as some overseas producers lowered their capacity.
Alexey Kulichenko, CEO of Severstal Group, noted that although domestic demand for steel products dropped by 17% YOY in June, the comprehensive operation of iron and steel industry could maintain the normal level. He claimed that the shipments of steel products might decrease slightly in the second quarter compared with the first quarter and the decline of expected price would cut the income.
Kulichenko said that affected by the COVID-19, economic activities slowed down and global steel capacity has moved down by 74 million tons. However, he noted that the export volume of steel products of Severstal Group in the second quarter accounted for 48-50% of output during this period, higher than 45% in the first quarter, as some overseas producers lowered their capacity.
