FERROUS METALS
FERROUS METALS
Metal Markets Dept. With the Ukrainian National Research
and Information Center for Monitoring International Commodity Markets possesses
information by the results of foreign and interior trade in Ukraine’s mining and
metallurgical commodities in 2000 and 5 months of 2001
According to Metallurgprom, in the 4 months of 2001,
Ukraine manufactured 8,750 ths. tons of pig iron, 10,936 ths. tons of steel and 9,648 ths.
tons of reday rolled metal. Production of pig iron (+5%), steel (+11%) and rolled steel
(+14%) increased as compared to respective period of 2000 (see Table 1).
EXPORT
In January-April 2001, Ukrainian supplies of metal products
mostly correspond to last year’s figures – in the period under review, Ukraine
exported some 9,509 ths. tons of metal products worth some USD 1,562 mln. This exceeds
respective figures of 2000 by 1.85% in terms of physical volume and by 1.02% in terms of
currency earnings.
Semis traditionally lead in export (mainly, billets and
slabs).Despite some decrease in export of these metal products, supplies are still low –
2,906 ths. tons (against 3,185 ths. tons in 2000). Percentage of this rolled metal in
total Ukrainian export of metals is at 30.5%.
Supplies of raw materials (steel scrap, pig iron, and
ferroalloys) keep notable – 22.3%, or 2,121 ths. tons. It is worth mentioning that steel
scrap supplies added 11% in the period under review, while export of pig iron nearly
halved.
In the period under review Ukraine exported some 2,141 ths.
tons of flat metal. Despite unfavorable global conjuncture for flat metal, Ukrainian
suppliers managed to retain tital export of this metal product at last year’s level
(with slight decrease by 0.5%). Supplies of zinked flat metal nearly doubled, while export
of CR flat metal lost 10%.
In January-April 2001, supplies pf long rolled metal
climbed by 22% (rebars and wire rod). In total, in the period under review Ukraine
exported some 1,701 ths. tons of long rolled metal against 1,390 ths. tons last year. This
became possible at the expense of increased export of rebars (+40%), while supplies of
wire rod narrowed by 8%.
Data on export of metal products from Ukraine in the 4
months of 2000 and 2001 are given in Table 2.
Regional distribution
By-region distribution of Ukraine’s export of metal
products in January-April 2001 was as follows.
In the period under review, S.E. Asian countries
traditionally held the leadership in import of Ukrainian metal products – 31.2%, or
2,970 ths. tons. Compared to last year, supplies to this region added 9.5%. this occurred
due to expanded export of semis (+16% to 1,695 ths. tons) and HR flat metal (+ 2.7% to 641
ths. tons), as well as steel scrap (+15% to 304 ths. tons).
Middle East countries firmly rank second – in the period
under review supplies to this region accounted for 2,665 against 2,303 ths. tons last year
(+15%). The most popular commodities in supplies to this market were: steel scrap (29% or
790 ths. tons), HR flat metal (16.5% or 440 ths. tons), as well as semis (14.5% or 390
ths. tons).
A 53.9% increase (up to 908 ths. tons) throughout the 4
months of 2001 provided CIS the third rank in Ukrainian export of metal products. What is
more, virtually all the commodities saw the increase in supplies. Supplies of bars (158
ths. tons), HR flat metal (144 ths. tons), steel scrap (140 ths. tons), and rebars (132
ths. tons) were the biggest.
EU countries hold steady 8.8% in total Ukrainian export of
metal products. In the period under review, EU countries consumed some 836 ths. tons of
Ukrainian metal products worth USD 136 mln. Physical supplies increased by 10%, while
currency earnings added 2%. Besides, Western European market remains the biggest importer
of Ukrainian raw materials, with 41% of semis (346 ths. tons), 20% of steel scrap (167
ths. tons), and 18% of pig iron (150 ths. tons).
Generaldata on by-region distribution of Ukraine’s export
of metalk products is given in Table 3.
Let us overview some major markets of Ukrainian suppliers
in detail.
USA
Ukrainian exporters vurtually lost their presence on the US
market. In January-April, export to this market narrowed by over 80%, having reached the
level of 160 ths. tons. Thus, Ukraine made just low supplies of wire rod (some 61 ths.
tons), pig iron (some 43 ths. tons), semis (some 25 ths. tons), as well as HR flat metal
(13 ths. tons).
China
China is the biggest importer of Ukrainian-made metal
products. Compared to the 4 months of 2000, in the respective 2001’ period under review
export supplies to Chinese markets increased by 16% to 1,189 ths. tons. Semis supplies
accounted for 805 ths. tons, HR flat metal – 206 ths. tons, and supplies of CR flat
metal – 163 ths. tons. There was no supply of rebars, wire rod or rebars.
Turkey
Like in previous months, Turkey remains traditional
importer of Ukrainian steel scrap and HR flat metal. The portion of these commodities in
total Ukrainian export to this country respectively makes 66% (693 ths. tons) and 14.5%
(151 ths. tons). On the whole, Ukraine shipped some 1,038 ths. tons to this market, which
is 23% down from last year’s figure.
Russia
Strong demand for metal products on this market contributed
to the increase in export supplies from Ukriane. In the 4 months, statistical data
reported a 70% increase in physical volume (up to 647 ths. tons), while currency earnings
soared by 60% (to USD 196.6 mln). The main commodities supplied to this market were bars
(22% or 143 ths. tons), HR flat metal (20% or 129 ths. tona), as well as rebars (15.6% or
101 ths. tons).
Prices
Compared to 4 months of 2000, in the period under review,
prices for metal products exported from Ukraine underwent some changes.
In January-April 2001, the prices dfor the following
commodities moved up: rebars (+4.6%), semis (+2.2%), bars (+1%), as well as rolled alloy
steel (+36.9%).
Besides, in the period inder review, prices for rolled
metals lowered: HR flat metal (-19.6%), CR flat metal (-14.8%), other rolled metals
(-25.1%) (mainle, zinced rolled metal).
Analogous situation has developed with the prices for steel
scrap and pig iron. Due to unfavorabe conjuncture on external markets, prices for scrap
and pig iron also lowered (by 7.3% and 9.5% respectively).
Average export prices for Ukrainian metal products in Q1
2000, 2001 are given in Table 4.
IMPORT
Statistical data for the first quarter of 2001 witnesses
that Ukrainian import accounted for some 161 ths. tons of metal products worth USD 76 mln.
Import supplies predominantly comprised metal products
manufactured in low amounts or not manufactured in Ukraine. Besides, some 20% of imported
products were shipped under tolling schemes. Th mein import commodities semis, mainy round
billets (28.5% or 46 ths. tons), rolled alloy steel (17.9% or 29 ths. tons), as well as
various ferroalloys (7.1% or 11.4 ths. tons).
Special attention should be paid to coated flat metal.
Ukraine experiences shortage oof this product – with a strong demand available, only one
domestic metallurgical works (OJSC Illyicha MW) manufactured zinced flat metal, mainly for
export. In the period under review, Ukraine imported some около 16.6 ths, tons of
coated flat metal, which makes 10% in total Ukrainian import of metal products.
The biggest importrs of metal products to Ukraine were as
follows: RF (52.2% or 84 ths. tons), Belarus (8.8% or 14.3 ths. tons), Latvia (7.3% or 12
ths. tons), Austria (6% or 9.8 ths.tons), as well as Germany (4.2% or 6.9 ths. tons).
The biggest suppliers of metal products to Ukraine are
presented in Table 5.
EXPORT 2000
(statistical analysis, cont.)
Wire rod
Ukrainian wire rod is one of a few metal products, which
enjoy stable demand on the global market.
In Q1 and Q2 2000, export supplies of wire rod were
limeted, with steady increase in price. The high in export supplies was registered in Q3.
Increase in prices on the world markets contributed to this. However, in Q4 the situation
radically changed, export supplies narrowed and prices plunged.
Dynamics of the Ukrainian export and export prices for HR
coils is given at Figure 1 and in Table 6.
Like most types of liquid Ukrainian rolled metal, export of
wire rod was made directly by producers: Krivirozhstal (57% or 972.6 ths. tons), Makeevka
MW (16% or 275 ths. tons), and Yenakievo MW (11% or 192 ths. tons).
In 2000, Bulgaria (19%), USA (16%), Algeria (8%), China
(6%), and Syria (4%) were the biggest importers.
Carbon steel rebars
For a few years running, global market for carbon steel
rebars has been extremely unstable, mainly, from price and conjuncture viewpoint. Anuhow,
Ukrainian export supplie accounted for 2,593 ths. tons (9% in total export of metal
products).
In the first quarter, export prices were low, which to an
extent can explained by seasonal decline in business activity (winter holidays etc.) on
the world markets. However, in th esecond quarter, the prices moved up, though on the
whole supplies were steady. Further export supplies of rebars increased, despite the
general weakening of global conjunture, which subsequently resulted in decrease of prices.
Dynamics of the Ukrainia export and export prices for
carbon steel rebars is given at Figure 2 and in Table 7.
Export supplies were mainly made by Krivorozhstal – 88%
or 2,277 ths. tons, as well as numerous commercial companies, with maximal total volume of
40-42 ths. tons.
In the period under review, the main market for carbon
steel rebars were Algeria (22%), Suria (15%), Bulgaria (13%), Iraque (11%), RF (6%) and
others.
Alloy (manganese) steel rebars
Ukrainian export of alloy steel rebars was absolutely
different (35GS rebars were mainly shipped). Though supplies of these metal products
fluctuated, there was firm upward trend in prices. Decrease in prices occurred only in the
end of the year.
Dynamics of the Ukrainian export and export prices for
alloy steel rebars is given at Figure 3 and in Table 8.
The biggest importers of this product were RF (35%), Iran
(18%), China (14%), as well as Bulgaria (8%) and Yugoslavia (6%).
In 2000, the biggest exporters of this metal product were
Yenakievo MW (74% or 197 ths. tons), Krivorozhstal (7% or 19.5 ths. tons), and Makeevka MW
(4% or 11.05 ths. tons).
Table 1. Ukraine’s production of pig iron, steel
and rolled steel in the 4 months of 2000 and 2001, ths. tona
| Product | 4 months of 2000 | 4 months of 2001 | 2001/2000 ratio, % |
| Pig iron |
6,266 |
6,551 |
+5 |
| Steel |
9,876 |
10,936 |
+11 |
Table 2. Export of metal products from Ukraine
| Commodity | Jan-Apr 2000, ths. tons | Jan-Apr 2001, ths. tons | Percentage, % | 2001/2000 ratio, % |
| Long rolled products |
1,390 |
1,701 |
17.89 |
122.37 |
| Bars |
185 |
320 |
3.37 |
172.97 |
| Flat metal |
2,152 |
2141 |
22.52 |
99.49 |
| Semis |
3,185 |
2,906 |
30.56 |
91.24 |
| Raw materials |
2,149 |
2,121 |
22.31 |
98.70 |
| Rolled alloy steel |
150 |
143 |
1.50 |
95.33 |
| Other metal products |
63 |
50 |
0.53 |
79.37 |
| TOTAL |
9,336 |
9,509 |
100.00 |
101.85 |
Table 3. By-region distribution of Ukrainian export
| Commodity | Jan-Apr 2000, ths. tons | Jan-Apr 2001, ths. tons | Percentage, % | 2001/2000 ratio, % |
| S.E.A |
2,712 |
2,970 |
31.24 |
109.54 |
| Midle East |
2,303 |
2,665 |
28.02 |
115.72 |
| CIS |
590 |
908 |
9.54 |
153.96 |
| EU |
760 |
836 |
8.80 |
110.09 |
| Eastern and Central Europe |
1,026 |
805 |
8.47 |
78.43 |
| Other |
1,946 |
1,325 |
13.94 |
68.12 |
| Total |
9,336 |
9,509 |
100.00 |
101.86 |
Table 4. Average export prices for Ukrainian metal
products, USD/MT
| Commodity | Средние экспортные цены |
||
| Q1 2000 | Q1 2001. | Change (+/-), % | |
| Rebars |
189.08 |
198.11 |
4.6 |
| HR flat metal |
189.55 |
158.53 |
-19.6 |
| Wire rod |
179.21 |
177.98 |
-0.7 |
| Ferrous scrap metal |
76.7 |
71.49 |
-7.3 |
| Semis |
143.72 |
147.02 |
2.2 |
| Rolled alloy steel |
259.29 |
410.88 |
36.9 |
| Other metal products |
261.29 |
331.71 |
21.2 |
| Other flkat metal |
336.07 |
268.55 |
-25.1 |
| Rebars |
186.1 |
188.05 |
1.0 |
| Ferroalloys |
420.65 |
411.44 |
-2.2 |
| HR flat meta |
252.52 |
220.01 |
-14.8 |
| Pig iron |
111.63 |
101.95 |
-9.5 |
Table 5. Biggest suppliers of metal products to
Ukraine
| Country | 2000 | Country | 3 months of 2001 | ||
| тыс. т | % | ‘000 tons | % | ||
| RF |
205.31 |
44.9 |
RF |
84.20 |
52.2 |
| Austria |
38.39 |
8.3 |
Austria |
14.30 |
8.8 |
| Latvia |
34.81 |
7.6 |
Latvia |
11.91 |
7.3 |
| Belarus |
34.04 |
7.4 |
Belarus |
9.85 |
6.1 |
| Germany |
23.56 |
5.1 |
Germany |
6.91 |
4.2 |
| Other countries |
119.26 |
26.7 |
Other countries |
34.06 |
21.4 |
| TOTAL |
455.39 |
100 |
TOTAL |
161.25 |
100 |
Table 6. Average export prices for Ukrainian steel
wire rod in 2000, USD/MT
| Supply basis | Average price |
| CPT Ukrainian ports | 168 |
| DAF Ukrainian frontier | 173 |
| FCA Ukrainian ports | 183 |
| FOB Ukrainian ports | 184 |
Table 7. Average export prices for Ukrainian rebars
of carbon steel in 2000, USD/MT
| Supply basis | Average price |
| CPT Ukrainian ports | 189 |
| DAF Ukrainian frontier | 274 |
| FCA Ukrainian ports | 173 |
| FOB Ukrainian ports | 240 |
Table 8. Average export prices for Ukrainian rebars
of alloy (manganese) steel in 2000, USD/MT
| Supply basis | Average price |
| CPT Ukrainian ports | 208 |
| DAF Ukrainian frontier | 185 |
| FCA Ukrainian ports | 160 |
| FOB Ukrainian ports | 141 |
Table 9. Global prices for billets, USD/MT
| Date | CIS, FOB, Black Sea port, export | China, C&F, import | EU to the third countries, FOB, export | Turkey, FOB, export | Brazil, FOB, export |
| 01.12.2000 | 150-160 | 170-180 | 170-180 | 180-200 | 170-190 |
| 01.01.2001 | 150-165 | 175-181 | 170-180 | 170-175 | 170-190 |
| 01.02.2001 | 145-160 | 177-182 | 170-180 | 160-170 | 160-180 |
| 01.03.2001 | 150-160 | 177-182 | 170-180 | 160-170 | 160-180 |
| 01.04.2001 | 152-160 | 178-190 | 170-180 | 163-190 | 160-180 |
| 01.05.2001 | 155-160 | 178-190 | 170-180 | 163-190 | 160-180 |
| 23.05.2001 | 155-160 | 180-190 | 170-180 | 165-175 | 160-180 |
Table 10. Global prices for rebars, USD/MT
| Date | CIS, FOB, Black Sea port, export | China, C&F, import | EU to the third countries, FOB, export | Brazil, FOB, export | USA, CIF, Gulf Port, import | Turkey, FOB, export |
| 01.12.2000 | 170-190 | Nom | 220-240 | 195-220 | 200-210 | 210-220 |
| 01.01.2001 | 170-190 | Nom | 220-240 | 190-200 | 195-200 | 210-220 |
| 01.02.2001 | 170-190 | Nom | 220-240 | 190-200 | 220-240 | 205-210 |
| 01.03.2001 | 185-195 | Nom | 220-240 | 190-200 | 230-250 | 205-210 |
| 01.04.2001 | 185-195 | Nom | 220-240 | 195-220 | 260-270 | 205-210 |
| 01.05.2001 | 185-195 | Nom | 220-240 | 195-220 | 260-270 | 205-210 |
| 22.05.2001 | 185-195 | Nom | 220-240 | 210-225 | 255-265 | 200-210 |
Table 11. Global prices for wire rod, USD/MT
| Date | CIS, FOB, Black Sea port, export | China, C&F, import | EU to the third countries, FOB, export | Brazil, FOB, export | USA, CIF, Gulf Port, import | Turkey, FOB, export |
| 01.12.2000 | 175-200 | Nom | 190-200 | 200-235 | 240-260 | 210-220 |
| 01.01.2001 | 170-200 | Nom | 190-200 | 210-230 | 250-260 | 210-225 |
| 01.02.2001 | 170-200 | Nom | 190-195 | 215-230 | 250-260 | 205-215 |
| 01.03.2001 | 175-200 | Nom | 180-195 | 215-230 | 250-260 | 205-215 |
| 01.04.2001 | 175-197 | Nom | 180-195 | 215-230 | 250-260 | 205-215 |
| 01.05.2001 | 175-197 | Nom | 180-195 | 215-230 | 250-260 | 205-215 |
| 22.05.2001 | 175-197 | Nom | 180-195 | 195-220 | 270-290 | 205-215 |
Table 12. Global prices for HR thick plates, USD/MT
| Date | CIS, FOB, Black Sea port, export | EU to the third countries, FOB, export | Brazil, FOB, export | USA, CIF, Gulf Port |
| 01.01.2000 | 180-190 | 350-370 | 300 | 385-405 |
| 01.06.2000 | 205-220 | 350-370 | 320 | 275-390 |
| 01.09.2000 | 190-205 | 350-370 | 320 | 365 |
| 01.12.2000 | 190-205 | 350-385 | 290-300 | 340-350 |
| 01.01.2001 | 190-205 | 290-310 | 290-300 | 340-350 |
| 01.02.2001 | 185-195 | 290-310 | 290-300 | 320-340nom |
| 01.03.2001 | 175-205 | 290-310 | 290-300 | 320-340nom |
| 01.04.2001 | 175-205 | 290-310 | 290-300 | 320-340nom |
| 01.05.2001 | 175-205 | 290-310 | 290-300 | 320-340nom |
Table 13. Global prices for HR coils, USD/MT
| Date | CIS, FOB, Black Sea port, export | China, C&F, import | EU to the third countries, FOB, export | Brazil, FOB, export | USA, CIF, Gulf Port, import | Turkey, FOB, export |
| 01.01.2000 | 195-220 | 240-280 | 270-300 | 240-250 | 330-350 | 330 |
| 01.06.2000 | 205-260 | 235-250 | 320-330 | 270-290 | 310-330 | 330 |
| 01.09.2000 | 180-185 | 235-250 | 285-310 | 270-290 | 265-285 | 265-270 |
| 01.12.2000 | 160-170 | 170-195 | 205-215 | 210-230 | 240-260 | 205-215 |
| 01.01.2001 | 155-170 | 170-195 | 190-220 | 210-230 | 230-260 | 205-215 |
| 01.02.2001 | 140-163 | 170-185 | 190-200 | 210-240 | 230-250 | 200-210 |
| 01.03.2001 | 140-163 | 170-185 | 190-200 | 210-240 | 230-250 | 200-210 |
| 01.04.2001 | 150-180 | 175-190 | 190-200 | 220-245 | 240-245 | 200-210 |
| 01.05.2001 | 160-170 | 175-195 | 200-230 | 220-245 | 240-245 | 200-210 |
| 22.05.2001 | 150-190 | 180-215 | 200-240 | 210-235 | 240-245 | 200-210 |
Figure 1. Dynamics of steel wire rod exports from
Ukraine in 2000
Figure 2. Dynamics of carbon steel rebars’ export
from Ukraine in 2000
Figure 3. Dynamics alloy (manganese) steel rebars’
export from Ukraine in 2000