Domestic Steel Consumption To Double To 15 mln mt per Year By 2012.
24 July 2008
According to Andriy Parkhomchuk the head of sales for the steel and rolled steel division of Ukraine’s largest metals and mining holding, Metinvest, Ukrainian domestic steel consumption will double to 15 mln mt per year by 2012. Parkhomchuk sees annual production at 50 mln mt (+25% to 2006) and exports of more than 25 mln mt in 2012. Eugene Cherviachenko: Metinvests’s forecast is in line with our estimates for local consumption growth (see our DMPZ note of July 10, 2007). We think that strong domestic market will increase appetites for Ukrainian steel assets, like Donetsk Metal Rolling (DMPZ: BUY).
