Russia, China Eye Steel Industry Cooperation

The Russian Iron and Steel Association and the China Chamber of Commerce for Import and Export of Minerals, Minerals and Chemicals signed a memorandum of cooperation in the field of mining and metallurgy last week. Both sides agreed to create a favorable business environment for mining and metallurgical enterprises in both countries and provide all necessary assistance.

Alexei Sentyurin, executive director of the Russian Steel Association, said: “Our two countries have a long-standing relationship that still has great potential to expand.”Russian steelmakers reduced investments in 2023, breaking a trend of consistent investment growth that began in the early 2000s, according to the association. Investment volume was approximately 275 billion rubles ($3.1 billion), a year-on-year decrease of 4%. Investment volume in 2022 is 286 billion rubles, 40% higher than the pre-crisis peak level in 2008.

It is estimated that the total investment in the development of this industry from 2001 to 2023 is approximately 3.8 trillion rubles. The Russian Steel Association stated that under the current difficult situation, Russian steel companies are also making every effort to solve the problem of import substitution and transition to Russian equipment and components in the shortest possible time.

According to data from Russian Railways (RDZ), 173,000 tons of Russian steel and pipes were shipped by rail to China and Taiwan last month, an increase of 11% from 156,000 tons in the previous month. Russia’s April production is estimated to have fallen 5.7% year-on-year to 6.2 million tonnes, according to the World Steel Association. Production in the first four months of this year was 24.6 million tons, a year-on-year decrease of 2.5%.China’s crude steel output in April was 85.94 million tons, a year-on-year decrease of 7.2%; the output from January to April was 343.7 million tons, a year-on-year decrease of 3%.