Mauro Longobardo, CEO of ArcelorMittal Kryvyi Rih (AMKR), Ukrainian subsidiary of Luxembourg-headquartered global steelmaker ArcelorMittal, has stated that the company plans to adjust its production level for the fourth quarter due to unfavorable market conditions, including the decline in iron ore and steel prices, as well as the increase in electricity prices.
Accordingly, the company will continue to operate only blast furnace No. 8 and two or three sintering machines in the October-December period. AMKR will continue coke production depending on the needs of its steel division. The converter shop and continuous casting machines will be stopped for 45 days. In the second half of December, one converter and continuous casting machine No. 1 will remain in operation. The company plans to enter 2025 with one blast furnace, one converter and continuous casting machine No. 1 in operation.
Noting that the company will use this downtime for major maintenance work and the modernization of equipment, Longobardo stated that the company will continue to monitor the market situation and is ready to quickly increase production volumes if the cost of electricity in Ukraine is at least equal to the cost in Europe or if demand in Europe increases.
Previously, AMKR’s CEO had stated that the company is facing significant external and internal challenges in the second half of 2024 that hinder production growth and threaten the loss of competitiveness.