In a statement addressed to the Russian Prime Minister Viktor Zubkov, the Russian International Metallurgists Union has claimed that the allegations of various steel consuming sectors regarding domestic steel price rises are groundless.
In its statement, the union declared that the price rises in steel and other non-ferrous products are due to the international upward trends in prices for raw materials and to the increase in the natural monopolies tariffs. These tendencies lead to the increase in the cost of steel production and in the final prices of steel products for end-users, the statement continued.
To stop the continuous price rise, the union has asked the government to reduce the tariffs for natural monopolies products for metallurgical enterprises. In addition, the union proposes the introduction of export duties on scrap, iron ore, coking coal and coke, which will allow the redirection of export-intended materials to the domestic market.
In addition, the union proposes the conclusion of long-term fixed-price contracts for the supply of steel products.