EU reduced semi-finished products import from Ukraine by 37% y/y in January-May

In January-May 2023, the European Union reduced the import of semi-finished products from Ukraine by 37% compared to the same period in 2022 – to 426.3 thousand tons. Imports of products in monetary terms decreased by 46% y/y – to €235.9 million. This is evidenced by Eurostat’s data.

The largest importers of Ukrainian-made semi-finished products among the EU countries in January-May 2023 were:

• Poland – 180.9 thousand tons (+108.4% compared to January-May 2022);
• Bulgaria – 132.3 thousand tons (-36.2% y/y);
• Italy – 36.8 thousand tons (-88.3% y/y).

In May 2023, the EU countries increased the import of semi-finished products from Ukraine by 14.2% compared to April – up to 115.4 thousand tons. Compared to May 2022, the supply of Ukrainian products to European consumers increased by 35.6%. Import spending by European steelmakers amounted to €54.7 million, up 13.2% compared to April and 0.7% up to May 2022.

In May 2023, Poland consumed 43.1 thousand tons of Ukrainian semi-finished products, which is 19.5% more compared to April and 2.6% less y/y. In May, Bulgaria increased imports of semi-finished products from Ukraine by 33.2% m/m and 19.7% y/y – up to 45.1 thousand tons. Italy consumed 6.9 thousand products from Ukraine during the month (-46.7% m/m).

As GMK Center reported earlier, in January-May 2023, Ukrainian steel companies exported 447.9 thousand tons of semi-finished products. Slab and billet export volumes decreased by 64.1% compared to the same period in 2022.

In May, product exports increased by 49.3% compared to the previous month and by 62.6% by May 2022 – to 151.8 thousand tons.

The low volumes of production of Ukrainian steelmakers are connected with logistical problems, the unfavorable situation of the world market, as well as with the destruction due to hostilities of the two largest steel enterprises of Ukraine – Azovstal and Ilyich Iron and Steel Works in Mariupol.