Russian steelmaker Novolipetsk Steel (NLMK) has announced its production and sales data for the second quarter and first half of the current year. According to the company’s statement, in the second quarter of this year, NLMK's crude steel output totaled 3.9 million mt, down eight percent compared to the previous quarter and falling by three percent year on year, due to lower utilization rates at NLMK Russia Long Products and NLMK USA while its total steel product sales amounted to 4.4 million mt, decreasing by three percent compared to the previous quarter and up by two percent year on year. NLMK Group stated that its steel output and sales were impacted by declining demand in its traditional sales markets amid the coronavirus pandemic.
In the same period, NLMK’s export sales rose by 51 percent quarter on quarter and up by 71 percent on year on year to two million mt. The increase in export sales is attributed to the deliveries being redistributed to the Asian market amid lower demand in other sales markets in April and May. The company’s domestic sales in the second quarter amounted to 2.31 million mt, declining by 24 percent compared to the first quarter of the year and down by 23 percent year on year.
In the first half of the year, NLMK Group's crude steel output totaled 8.1 million mt, down by one percent year on year, while its total steel product sales remained stable at 8.9 million mt compared to the same period of the previous year. In the given period, the company’s domestic sales totaled 5.3 million mt, down six percent year on year, lower demand in the US market. On the other hand, the company’s export sales totaled 3.4 million mt, up six percent year on year, owing to higher exports of semis.