Russia’s stainless output increases in October

Russia’s production of stainless steel increased in January-October, show national statistical service Rosstat data monitored by Kallanish.

Output amounted to 175,200 tonnes, up by 3% on-year. In October alone Russian steelmakers produced 17,700t of stainless steel, more by 7.6%.

In September, Russian steelmakers produced 20,700t of stainless steel, up 34.1% on-year (see Kallanish passim).

Stainless production at Russia’s Krasny Oktyabr (Red October) decreased in October to 12,500t of stainless steel, down by 51.2% on-year. Red October managed to maintain its leading position in the production of stainless steel in the first half of 2021. Moreover, it had a 22.4% share in Russian stainless exports, according to national special steel association USSA.

In October, JSC RSL Group, associated with Russian pipemaker TMK, completed the acquisition of shares in Red October. However, the latter is still in bankruptcy proceedings. RSL Group said its immediate tasks will be restoring pre-crisis production indicators, expanding sales markets, developing industry cooperation and implementing a plan to modernise production.

Earlier, TMK announced it will begin the production of stainless flat rolled products. The design capacity of the proposed complex is up to 500,000 t/year. Total investment is over RUB 100 billion ($1.36 billion). The production site will be located in Volzhsky, but the timing of the project has not yet been specified.

Russia’s additional export duties meanwhile impact only a part of Russian exports of stainless products because most of them are delivered to Eurasian Economic Union (EAEU) countries, USSA said previously.

Svetoslav Abrossimov Bulgaria