Russian steelmaker Severstal has announced its operational results for the second quarter of the current year. Accordingly, Severstal’s crude steel production in the April-June period this year decreased by three percent quarter on quarter to 2.81 million mt. This was mainly a result of reduced pig iron output, which in the second quarter of the current year totaled 2.33 million mt, down three percent quarter on quarter, due to maintenance works at BFs Nos. 1, 4 and 5.
In the given period, Severstal managed to increase its color coated coil and large diameter pipe sales quarter on quarter, while the sales of all other steel products fell. In particular, in the second quarter this year Severstal’s hot rolled coils sales declined by two percent quarter on quarter to 1.179 million mt, while its sales of semi-finished products fell by 48 percent quarter on quarter to 100,000 mt. As a result, Severstal’s total consolidated steel product sales decreased by seven percent quarter on quarter to 2.55 million mt in the second quarter. The share of export sales remained high at 44 percent due to a slowdown in domestic demand caused by lockdown measures.
In the April-June period this year, Severstal’s iron ore pellet sales fell by 15 percent quarter on quarter to 2.53 million mt, while its iron ore concentrate sales increased by 30 percent quarter on quarter to 1.9 million mt, driven by a recovery in production volumes in the given period.