The Union of Ukrainian workers in metallurgy and mining industry sent a note to the head of Dnepropetrovsk regional government administration, asking to take all necessary steps to prevent collapse in the industry, according to the Ukraine’s local media.
According to the note indicating the growing deficit of steel scrap in Ukrainian metallurgical enterprises, all possible steps should be taken to spot export of steel scrap in case of need in raw materials in domestic market until the end of this year. It is mentioned that with the export of 1 mt of steel scrap, Ukraine receives €10 of tax, while with every produced metric ton of steel, the government receives almost €80 of taxes. Accordingly, the Union stated that the country’s regulation on scrap export is beneficial for Turkey and Transnistria instead of Ukraine.
Meanwhile in the January-August period, Ukraine exported 922,853 mt of scrap, increasing almost %56-59.8 percent, worth a total of $241,901 million, up approximately %10.6-22.7 percent, both year on year, according to the data released by the State Fiscal Service of Ukraine. The exports in terms of value mostly went to Turkey (%79.83) and Moldova (%18.92). In the same period, Ukraine cut import of steel scrap by %93.3 percent 1.773 mt, amounting $2.041 million, down by 81.1 percent compared to the same period of 2014.