Severstal sees steel demand softening in Russia on weak construction

Major Russian steelmaker Severstal expects that steel demand will be flat in the country’s domestic market in 2019 because of softness in the construction sector, the main consuming industry, chief financial officer Alexey Kulichenko said in a conference call on Tuesday February 5.

“We do not see at the moment signs of significant recovery [of steel demand in 2019] ,” Kulichenko said. “Although some segments are doing slightly better, such as car-making and machinery, and some other niches will show high growth, in general, demand will remain flat due to soft construction.” Steel demand did not increase in Russia in 2018 either, he added, because there were no improvements in the construction industry, although Severstal had expected that there would be. In 2018, Severstal expected that steel consumption would increase in...

Published

Marina Shulga

February 06, 2019

16:44 GMT

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