In 2014, Ukrainian metallurgical companies are expected to see steel production fall by 16.8 percent year on year, to 27.2 million mt, while a 0.7 percent decline is expected in 2015 compared to the forecast figure for this year to 27 million mt, according to the Ukrainian association of metal producers Metallurgprom.
According to experts, the forecast could be either improved or downgraded because of the events in the east of the country. Rolled steel prices in 2015 are expected to decline by 5-10 percent, or by $30-50/mt. The volume of the local market in 2014 will decrease by 43.7 percent year on year, from 7.1 million mt in 2013 to about 4 million mt, due to the decline in machinery engineering and the situation in the east of the country. In 2015, the volume of consumption under the negative scenario is expected to reach 3.4 million mt.