Ukrainian mining and extraction companies reduced the export of iron ore by 26% in 2023 compared to 2022, reaching 17.75 million tons. Compared to pre-war 2021, the export of raw materials decreased by 60%.
This information was reported by the State Customs Service.
The revenue of Ukrainian mining and metallurgical companies from the export of iron ore in the past year decreased by 39.4% compared to 2022, amounting to $1.77 billion. In 2021, the export of raw materials in monetary terms amounted to $6.89 billion, which is 74.4% higher than in 2023.
The major consumers of Ukrainian-produced raw materials in 2023 were Slovakia, the Czech Republic, and Poland. In 2021, China was the main export destination, accounting for 41.9% of the total. The shares for the Czech Republic and Poland were 9.6% and 8%, respectively.
"The loss of the Chinese market with the start of the war had the most significant impact on the reduction of iron ore exports. Although the maritime corridor opened last year allows Ukrainian producers to return to the Chinese market, due to limited capacity and significant security risks, we cannot expect a restoration of pre-war transport volumes," noted Andriy Hlushchenko, an analyst at GMK Center.
Metinvest's enterprises are currently operating at 35-40% capacity due to the lack of full-fledged opportunities for exporting raw materials by sea.
Ferrexpo Group's enterprises operated with only one or two production lines out of four during the year. The company mentioned that in case of the restoration of maritime exports, it plans to launch an additional production line and resume deliveries to customers in the Middle East and Asia.
