Zaporizhstal partially resumes production, eyes future shipments

Ukrainian flat steel producer Zaporizhstal, part of Metinvest, has partially resumed operation of its cold rolling shop, the company tells Kallanish.

The decision to partially resume work was facilitated by the controlled military situation in Zaporozhye, the enterprise claims.

Skin-pass mills 1700-1 and 1700-2, as well as slitting unit No. 5, were put into operation in the cold-rolling shop. The machines process cold-rolled products at the redistribution of the shop after a hot shutdown of the plant, and produce finished products.

In addition, the area for packaging and shipment of finished products has been partially restored. Now the workers of the shop are focused on the preparation and shipment of hot-rolled and cold-rolled steel to Ukrainian consumers and abroad, the plant says.

“We can start up fully and restore our capacity after logistical restrictions are resolved, but due to hostilities, the plant cannot ship products by ports,” Zaporizhstal says. “In addition, there are problems with the supply of critical types of ferroalloys and sulphuric acid, coal for the resumption of coke production. We need help in resolving logistical issues from the state.”

On 2 March, Metinvest suspended production at its enterprises in the Zaporizhzhia region due to the Russian invasion of Ukraine (see Kallanish passim). Zaporizhkoks and Zaporizhstal have switched to hot conservation mode.

In 2021, Zaporizhstal produced 4.5mt of pig iron, up by only 0.1% on-year. Steel production decreased by 0.1% to 3.8mt, while rolled steel production remained level on-year at 3.2mt.

Earlier, Metinvest suspended production at its Mariupol-based Ilyich and Azovstal plants following the invasion. The company also declared force majeure.

ArcelorMittal Kryvyi Rih (AMKR) continues iron ore mining activity for the future resumption of steelmaking. AMKR previously also declared force majeure and idled its blast furnaces.

Ukrainian pipemaker Interpipe and DMZ have suspended production due to the invasion.

Seamless stainless pipe producer Centravis resumed single-shift production, but faces logistics problems with its shipments.

Pellet producer Ferrexpo continues to produce and ship product by rail to customers in Europe.

Svetoslav Abrossimov Bulgaria