Steel market: expert forecasted the revival of the metallurgical industry.

Global decline in steel demand is the main problem of the Ukrainian metallurgical industry. According to the director of the analytical center GMK Center, Stanislav Zinchenko, this is a global trend and recovery of steel consumption is not expected until the middle of next year. The 1% decline in global steel demand is the result of economic cycles, monetary policy, and structural changes in industrial policies. The Ukrainian metallurgical sector is also pressured by the instability of the sea corridor and increased logistics costs due to high freight rates. The cost of ore that Ukraine exports to China is significantly higher due to shipping freight prices. Additionally, Ukrainian products are also priced higher compared to Russian ones. A series of anti-dumping duties and trade barriers also complicate the situation in the metallurgical sector.

Zinchenko concluded that the main market opportunity for Ukraine is the European Union, but economic stagnation is also observed there.