Ex-Russia hot rolled coil (HRC) allocation is set to be limited for October and November production, taking into account that Severstal, one of the key Russian producers, plans to carry out a series of maintenance works at its rolling mills and has already announced this to its customers.
In October, Severstal plans to stop its combined 1700/2800 mill for a period of around two weeks in order to install a controlled cooling system at the 2800 rolling line. The usage of this technology will allow Severstal to widen its product range and to increase efficiency in terms of costs. The current capacity of the 1700/2800 line is around 2 million mt of HRC per year.
In addition, in November Severstal will implement scheduled maintenance at its 2000 mill, which is capable of around 6-6.2 million mt of HRC production per year. The works are expected to take around one week, SteelOrbis has learned.