Metinvest steel prices dropped further last week
30 August 2021
Ukraine FOB prices for the types of iron and steel
products exported by Metinvest (METINV), Ukraine’s largest producer, extended
their drop during Aug. 20 – 27, according to Metal Expert, an industry
consultancy.
Pig iron prices (Metal Expert’s FOB Black Sea
assessment for a group of countries that includes Ukraine) plunged 11% w/w to
USD 500/t on Aug. 27, 21% below their 2Q21 high of USD 635/t on June 18.
Billet prices dropped 2% w/w to USD 595/t on Aug. 27,
19% below their 2Q21 high of USD 735/t on May 14.
Slab prices lost 3% w/w to USD 775/t on Aug. 27, 18%
below their 2Q21 high of USD 950/t on May 28.
HRC prices retreated 2% w/w to USD 878/t on Aug. 27,
20% below their 2Q21 high of USD 1,095/t on May 21.
The prices provided by Metal Expert are sophisticated
estimates, but they are not necessarily the same as the prices realized by
Metinvest for its specific products.
Dmytro Khoroshun: Ukraine FOB
steel prices might stabilize in the next few weeks, but we do not exclude a
further drop later in 2021.
Metinvest’s monthly EBITDA will likely amount to at
least USD 400-500 mln in 2Q21 and in 3Q21 because of the high steel and iron
ore prices.
