Kryukiv Wagon freight car output slumps 2x yoy in December
16 January 2013
Kryukiv Wagon (KVBZ UK) produced 542 freight railcars in December (down 2.1x yoy), the company reported on Jan. 15 via Interfax. In contrast, total 2012 freight car production broke the record set in the prior year, growing 2.4% yoy to 11,005 units.
Roman Dmytrenko: The company’s December production was hit by an effective ban on freight car exports to the Russian Federation after its authorities suspended in November quality certification on bogie frames (castings) produced by Kremenchuk Steel Casting, which is Kyukiv’s only bogie castings supplier. We expect Kryukiv’s January production update will also be disappointing, considering that quality certification hasn’t been reinstated and a castings shortage persists.
