VyksaSteelWorks
Produced1.5Mtof
Tubes in2013
VyksaSteelWorks (anOMK
asset)manufactured1.5Mt
ofvarious typesof tubular
products in2013 including
797ktofbigdiameterpipes,
661kof railwaywheels, and
542ktofflats.Tubularproducts
output in2013grew9%
against2012.Bigdiameter
pipesoutputgrew16%due
togrowingdemand foroil and
gaspipes in theRussianand
theCISmarkets.The tubes
aresupplied toGazprom,
Transneft,NOVATEK, LUKOil,
Rosneft, Surgutneftegaz
etc. aswell as toa few large
internationalpipelineprojects
suchasMiddleAsia-China—
3,Kazakhstan—Chinaetc.
Railwaywheelsoutput in
2013droppedby22% to
661kcompared to the record-
breaking2012due todrop in
demand foductsaswell as
manufactureofabignumber
of railwaycarsnot requiring
repair.
NLMK-KalugaPlans
toProducearound
729ktofRolledStock
According toS.Khorn,Deputy
VicePresident forSales,
NLMK , in2013 thecompany
supplied2.21Mtofhot-rolled
products (1.22Mtofdomestic
sales inclusive), cold-rolled
products: 1.52Mt (841ktof
domesticsales inclusive),
coated rolledproducts:1.08Mt
(almost100%weresold
domestically), longproduct:
1.71Mt (197ktweredispatch
directly fromNLMK-Kaluga),
andwiremeshproducts:
305kt.NLMK-Kalugahas
recentlymasteredproduction
of reinforcingbarsof12—
25mmasperGOST52544.The
companyplans toproduceand
supply729ktand900ktof long
products in2014and2015
respectively.
CherMKReachedMax
LongProductsOutput
in2013
CherMK (aSeverstal asset)
produced1.258Mtof long
products in2013 (+158ktor
14%against2012) reaching
maximumproduction result
over the last5years. Supplies
ofconstruction longproducts
in2013grewby162kt (+
27%against2012). In2014
thecompanywill continue
supplying longproducts to
WesternSpeedHighway,
St.Petersburg, the largest
infrastructureproject in the
North-West.The reinforcing
bars for theprojecthavebeen
suppliedbySeverstal-Invest
TradeHouse, St.Petersburg ,
partofSeverstalRussianSteel
DivisionsinceAugust2013.
Thesupplieswill continue
untilFebruary2015.Thewhole
batchof longproducts for the
projectwillbeproducedon
CherMK facilities:80%onMill
250, the restonMill350.
NLMKGroup
Produced15.43Mtof
Steel in2013
NLMKGrouphasstrengthened
its leadingposition inRussia
increasing itsshare in the
totaldomesticsteeloutput
from20 to21%. In2013NLMK
increasedsteeloutputby3%
up to15.429Mt including long
products:+24%up to2.232Mt.
More than95%of the total
steeloutputwereproducedon
NLMKRussianassets, including
2%producedonNLMK-Kaluga
facility.Processutilization rate
in2013 remainedhigh:95%.
Sales reached14.828Mt (–2%
against2012)mainlydue to
drop inpig ironsales.Domestic
salesgrew19% reaching
5.786Mtdue tofindingnew
salesmarkets.Abiggrowth
insalescausedbygrowing
demand in theconstruction
segmentwas registered in
NLMK-SortDivision:+23%,
up to2.102Mt.NLMKexpect
sustainabledevelopment in
1Q2014.
Hot-RolledTubes
FacilitiestoGrowby
700ktby2017
AccordingtoE.Kochneva,
Uraltrubostal,Russiansteel
tubesmarketshowedslight
increase in2013against
2012 (+458ktor5%), imports
reducedslightly (by7kt,–0.8%).
Themarketstructurechanged
aswell. Importssuppliesof
OCTGgrew1.6timesagainst
2012.Smallproducers
considerably increased
suppliesofhollowsections.
Newweldedtubes facilities
arestillcommissionedturning
themarket intoregional.
Seamlesstubes facilitiesgrew
200kt in2012—2013dueto
degreasingofTPA-400millat
RustavskSteelWorks in2012
andMill-140atChTPZ in2013.
Accordingtoestimationsof
ChTPZprofessionals,hot-
NewMarketBalance
T
he timeswhen themajorityofdomesticsteel
productswereexportedhave longgone. In2013
Russiansteelexportsnodidexceed25Mtwhich is
2Mt lessascompared to2012.However,domesticuseof
steelproducts isestimatedon theaverageat44Mt:+3.5—
3.8%against2012.Thedomesticmarket in thenearest
futurewill remain toppriority forRussianproducers.The
globalmarket (mainlyChinaandEurope) thisyearwill still
suffer fromoversupply,while rolledstockconsumptionwill
remain limited.According toWorldSteelAssociation (WSA),
steel consumption inRussia in2014willgrowmore than
на4.5%up to46Mt.Thus, theRussianmarketwill continue
growing faster than theglobalmarketwhichaccording toall
sourceswillnotgrowmore than3.2% in2014.However, the
currentsituation in theRussianmarket remainscomplicated
due toslowingdown in the rateofGDPgrowth.According
toA.Klepach,DeputyMinisterofEconomicDevelopment
of theRussianFederation,GDPgrewnomore than1.3% in
2013,while in2014 itwillgrow2.5%,however,manyRussian
and internationalmarketanalystsconsider thisfigure too
optimistic.
4
metalinfo.ru
Special Issue2014
News
Ferrous Industry
