Flat-rolled steel exports from Ukraine down 13.2% in February: Analysis of the situation and prospects

In February 2025, Ukraine experienced a 13.2% decrease in flat-rolled steel exports compared to the previous month. This reflects the difficult situation in the metallurgical products market and the impact of various factors negatively affecting foreign trade. Flat-rolled steel, which is an important element for many industries, such as construction, the automotive industry and the production of household appliances, has felt both a decrease in demand and internal economic challenges.

In February, Ukraine exported flat-rolled steel worth 391 million US dollars, which is 13.2% less compared to January of this year. According to the results of the first two months of 2025, total exports of these products reached 838 million dollars. It is important to note that the decrease in export volumes occurred not only due to a decrease in production volumes, but also due to changes in foreign trade conditions and the influence of various economic factors, such as currency fluctuations, transport problems and restrictions on the markets of major partners.

Analyzing the geography of exports, it can be noted that the largest volume of supplies falls on the countries of the European Union and the CIS countries. However, due to the difficult political and economic situation in some of these regions, there is a certain decrease in demand for Ukrainian flat rolled products. European countries, in particular, introduced additional customs duties on products from Ukraine, which became another factor that influenced the reduction in supply volumes.

As for the main reasons why flat rolled products exports from Ukraine decreased in February, among them are a decrease in production rates in the metallurgical industry due to rising energy prices, as well as a decrease in demand from international consumers, who are focused on cheaper alternatives or have reduced their purchases due to global economic uncertainty.

At the same time, European and global producers are actively expanding production capacities and offering competitive prices on the markets, which creates additional competition for Ukrainian exporters. This also affects the decline in export volumes from Ukraine, as international buyers have the opportunity to choose between several suppliers of products on more favorable terms.

However, despite the decline in export volumes in February, Ukrainian metallurgists have opportunities for recovery. It is expected that in the coming months the situation may improve due to the recovery of demand for flat rolled products in certain regions, in particular in the EU countries. In addition, important factors will be the stabilization of the exchange rate and the optimization of logistics processes, which will reduce transportation costs and increase the competitiveness of Ukrainian products.

In conclusion, although the decline in flat rolled exports in February is a negative signal for the Ukrainian metallurgical industry, there is still room for improvement. Important steps for this should be adaptation to new market conditions, diversification of export destinations, and investments in the modernization of production facilities.