Domestic supplies of scrap to steel plants for February 2023 increased by 43.3% m/m

In February 2023, the volume of scrap metal collection in Ukraine increased by 51.6% compared to the previous month – to 60.5 thousand tons. Compared to February 2022, the indicator decreased by 66.3%. Ukrainian Association of Secondary Metals (UAVtormet) data informs about it.

Export of scrap metal for February 2023 amounted to 16.5 thousand tons, which is 98.8% more compared to January 2023 and 7.9 times y/y. The import of scrap metal during this period amounted to 0.04 thousand tons, while in February 2022 and January 2023 scrap was not imported.

Scrap supplies to Ukrainian steel enterprises in February 2023 increased by 43.3% compared to the previous month and decreased by 73% by February 2022 – to 70.8 thousand tons.

In January-February 2023, the collection of scrap metal decreased by 70.8% compared to the same period in 2022 – to 152.2 thousand tons. The export of scrap during this period amounted to 24.8 thousand tons, which is 3.5 times more y/y, and import – 0.04 thousand tons (-60% y/y).

Scrap supplies to Ukrainian steel plants for January-February 2023 decreased by 75.4% y/y – to 120.2 thousand tons

Technological stocks of scrap metal at steel enterprises are estimated at 15,000-20,000 tons as of March 1, 2023. Estimated technological needs of steelmakers in scrap are fully provided, with a slight excess.

UAVtormet predicts that scrap collection in Ukraine in 2023 will amount to 850-880 thousand tons. Domestic supplies of raw materials to steel plants will be at the level of 720-750 thousand tons.

“During the first two months of 2023 volumes of scrap metal collection in Ukraine continued to decrease. This trend is due to crisis phenomena in the collection industry and the existing pricing in the market. The growth of scrap metal export allows us to maintain business activity in the current conditions”, the message says.

In 2022 volumes of scrap metal collection in Ukraine decreased by 75.9% compared to 2021 – to 996.7 thousand tons. The export of raw materials for the year decreased by 11.4 times y/y – to 53.6 thousand tons, import – by 92.1% y/y, to 1.8 thousand tons. Domestic supplies of scrap metal to domestic steel mills decreased by 73% – to 895.7 thousand tons.

Source https://gmk.center/ua/