Ukraine's scrap metal industry losing potential in absence of ferrous scrap exports - expert

MOSCOW. March 25 (Interfax) - Ukraine's scrap collection industry is losing its potential, is reducing raw material procurement and has to lay off workers following the introduction of a zero quota on exports of ferrous metal scrap on January 1, 2026, Ukrainian media quoted Ukrainian Association of Secondary Metals (UAVtormet) head Vladimir Bublei as saying at a press conference in Kiev.

The ban on scrap metal exports, imposed without balancing consumption and procurement of this raw material, has had a negative impact on the operations of scrap metal procurement companies, Bublei said. At the same time, steel production in Ukraine dropped 13.3% year-on-year to 1.026 million tonnes in January-February 2026 from 1.183 million tonnes in the same period of last year.

Ukrainian steel mills' purchases of ferrous metal scrap also fell 31.7% to 176,000 tonnes from 257,800 tonnes. Procurement dropped 41.1% to 184,800 tonnes from 313,600 tonnes recorded in the first two months of 2025.