Ukraine's Steel Consumption Rises 19% in Early 2025 Amid Surge in Imports

 Ukraine's Steel

Flat Products Dominate Import Mix as Export Volume Slips Slightly

Ukraine’s steel market posted a solid recovery in the first four months of 2025, with total steel consumption reaching 1.199 million tons—up 19.1% from the same period in 2024, according to data from Ukrmetprom. This growth highlights a renewed industrial demand and increased domestic activity.

Imports Surge, Making Up Over One-Third of Market

Between January and April 2025, Ukraine imported 450.9 thousand tons of steel products, marking a 28.2% year-on-year increase. Imports now represent 37.6% of Ukraine’s rolled steel consumption, up from 34.9% last year. The import portfolio continues to favor flat products, which comprised 78.86% of imports, compared to just 19.12% for long products.

Flat products remain critical for sectors such as construction, automotive, and manufacturing, driving their dominance in both import and export markets. The increase in long product imports, though modest, also signals gradual recovery in infrastructure investments.

Domestic Production Stabilizes, But Export Share Declines

Ukrainian steelmakers produced 1.98 million tons of rolled products in the first four months of 2025, a marginal 0.5% increase year-on-year. However, export volumes fell by 6.4% to 1.23 million tons. This decline suggests a strategic pivot toward supporting domestic supply chains amid geopolitical and logistical challenges.

The share of steel products allocated to the domestic market rose 14.2% to 748 thousand tons. Consequently, the export share of total output fell to 62.3%, down from 66.8% in 2024.

Export Structure Shifts Toward Value-Added Products

Export trends reveal increasing shipments of flat and long products, at 44.9% and 19% of exports respectively—both rising from the previous year. Meanwhile, semi-finished product exports declined to 36.1%, reflecting a gradual industry shift toward higher-value finished goods.

Key Trade Partners and Regional Dynamics

The European Union remains Ukraine’s top buyer, absorbing 79.7% of exported steel. Other European countries followed with 10.2%, while CIS countries accounted for 6.8%.

On the import side, other European countries dominated at 57.9%, ahead of the EU-27 (24.3%) and Asian nations (17.3%). This dynamic underscores Ukraine's growing integration with European supply chains and shifting trade flows post-conflict.

With full-year 2024 consumption previously down 6.26% and domestic output at 6.22 million tons, the early 2025 figures point to a recovering steel market, driven by domestic demand, rising imports, and shifting trade patterns.