Ukrainian mining and steel producing group Metinvest has announced that it has decided to suspend production at Yenakiieve Iron and Steel Works and at the branch of Yenakiieve Steel in Makiivka due to the ongoing military conflict in Donbass and disruptions of railway transportation in the region.
The facilities have been experiencing serious logistical issues with railway transportation. They have not been able to secure sufficient raw material supplies or ship finished goods.
Due to frequent shelling by artillery, the high voltage lines to Yenakiieve Steel and its Makiivka branch have been damaged, leading to equipment failures and suspensions of production. Employees have been risking their lives every day to come to work. The shelling of Metinvest Group’s subsidiary Avdiivka Coke has also disrupted supplies of coke, which is necessary for steel production.
Yenakiieve Steel is the city of Yenakiieve’s main employer. The plant’s products are sold abroad, bringing foreign currency revenue to Ukraine.
Most of the 6,000 employees at Yenakiieve Steel and its Makiivka branch have been temporarily laid off and are receiving two thirds of their salary. Only about 10 percent of the workforce is now working to shut down equipment. This process will be completed within a few days.
The resumption of production at Yenakiieve Steel will depend on further events in the region, and in particular on the situation regarding railway transportation.