European steel plants are expected to reduce or stop production in April

It is reported that due to the recent period of turmoil abroad and the impact of the conflict between Russia and Ukraine, the raw material gap has been ripped. Raw materials prices continue to rise, while steel prices are still slowly catching up, resulting in tight profits. Juxing graphite electrode applies to EAF/LF steelmaking. In such situation, many steel plants have slowed down the pace of production and reduced expenditure; Some steel plants have also tried to raise steel prices to stabilize profits, but the effect is not obvious. If the current situation continues, more European steel plants may cut production or stop production in April. In addition, some short process steel plants in Italy also shut down due to high power costs. 

Part suspended enterprises investigation is as follows:

(1) One blast furnace in ArcelorMittal Italian steel plant has been shut down for maintenance since the end of November 2021;

(2) SSAB Finnish steel plant has stopped production for maintenance since February;

(3) ArcelorMittal Ukrainian steel plant has been shut down since late February due to the conflict between Russia and Ukraine;

(4) Metinvest steel plant has been shut down since late February due to the conflict between Russia and Ukraine; 

(5) One blast furnace in ArcelorMittal South Africa steel plant has been shut down for maintenance since March due to raw material transportation problems.

The resumption time of the above steel plants is still being tracked. Follow us for more steel market news.