The domestic flat steel market in Russia still has to see positive developments in terms of demand, which continues to put pressure on prices. End-user activity is seasonally low and, in addition, high interest rates continue to weigh on both project activity in Russia and on the daily business of steel traders in the country. Some executives expect overall steel consumption in Russia to drop by 14-15 percent in 2025, with the trend most likely continuing into next year.
One of the main flat steel producers in Russia has announced its domestic prices for hot rolled steel for December production. While its sheet offers have remained at RUB 55,000/mt CPT or $567/mt CPT, its coil prices have decreased by RUB 2,500/mt ($23/mt) to RUB 59,000/mt ($608/mt) CPT. The prices in US dollars exclude 20 percent VAT, while the exchange rate is $1 = RUB 80.9.
As regards exports, Russian mills have practically closed their sales for December production, having focused as usual on the MENA region and Turkey. A non-sanctioned HRC supplier, according to sources, traded at least 25,000 mt to Turkey in the range of $483-490/mt CFR, which corresponds to $460-470/mt FOB Black Sea. The sanctioned mill, traditionally active in exports, is sold out for December, having sold 100,000 mt. Most deals were closed to the Middle East at $470-480/mt CFR earlier this month, which is around $420/mt FOB Baltic Sea. However, some sources reported that prices levels to Egypt and Turkey were at $460-465/mt CFR for certain lots ($410-415/mt FOB).
