In September this year, Ukrainian crude steel output continued to show improvement, with domestic steelmakers producing 2.742 million mt, up 5.5 percent compared to August, and with the average daily output increasing by nine percent month on month to 91,340 mt.
Accordingly, September's improvement was mainly driven by ISD's subsidiary Dneprovsky Iron and Steel Works named after F. Dzerzhinsky (DMKD), Metinvest's subsidiary Azovstal and by ArcelorMittal Kriviy Rih, which increased their outputs by 24.7 percent, 13.6 percent and 10.5 percent month on month respectively. On the other hand, Ilyich Iron and Steel Works of Mariupol (Ilyich) saw its crude steel output decrease by 5.6 percent month on month, due to an accident last month at its power plant which has now been repaired.
September 2010 (mt) |
Change m-o-m |
Jan-Sept 2010 (mt) |
Change y-o-y |
|
ArcelorMittal Kriviy Rih |
510,800 |
+10.5% |
4,526,600 |
+29% |
Azovstal |
491,720 |
+13.6% |
4,219,270 |
+30.8% |
459,000 |
-5.6% |
4,049,000 |
+30.3% |
|
290,000 |
+0.3% |
2,519,000 |
+3.8% |
|
Yenakievo |
214,200 |
-3.8% |
1,926,950 |
+7.6% |
Alchevsk |
225,000 |
+0.9% |
2,210,000 |
-21.2% |
DMKD |
232,000 |
+24.7% |
2,003,000 |
-22.6% |
"Despite the upcoming slowdown in the global steel markets in October, we believe Ukraine's steel sector is well positioned to raise its daily output by roughly three percent month on month to 94,000-95,000 mt. Alchevsk, whose capacities are only loaded at around 60 percent, should be one of the main factors leading the growth. We see few risks to individual mills' production plans (with the exception of ore undersupply to Alchevsk and DMKD), and we reaffirm our latest projection for 2010 output at 32.7 million mt of crude steel - up ten percent year on year," Eugen Dubogryz, analyst from BG Capital, said.