Recently, the Russian Iron and Steel Association said that so far, the number of sanctions against Russia has reached 10,128 times, Russia has become the world’s most sanctioned country, the country’s steel manufacturers are also losing sales in Europe and the United States.
The Russian Steel Association said: “Domestic steel consumption demand is also falling. Under such conditions, it is necessary to adjust the taxation system of the steel industry, and the current consumption tax on pig iron is worth discussing.”
Russia’s steel association pointed out that because of sanctions imposed by Western countries such as the US and Europe, the country’s steel mills have to turn to Asian countries. However, Russian steel products are required to be sold at discounted prices in those countries, and in some cases below cost.
According to the Russian Iron and Steel Association, before the outbreak of the Conflict between Russia and Ukraine, Russia’s exports of steel products to Asia accounted for 10 to 20 percent of the country’s total exports of steel products, but now this accounted for more than 50 percent.
In April, the WORLD Steel Association predicted Russia’s domestic steel demand would fall 20 percent to 35.1 million tons in 2022 from 43.9 million tons in 2021. Denis Mantrurov, Russia’s industry minister, disagreed with THE WORLD Steel Association’s forecast, saying demand for steel in the country would fall by less than 20 percent in 2022.
Recently, Russian President Vladimir Putin said that Russia’s ferrous metals industry is signaling the risk of a sharp decline in production in the medium term.
