Posted on 27 Sep 2022
Russian Railways (RZD) has notified of a reduction in tariffs for the transport of containers and semi-finished steel in certain directions, Kallanish notes.
“From this month, an 11.1% discount is being introduced for export transport of steel billets and slabs from the Novolipetsk station to the Tuapse-Sortirovochnaya station,” says the press service of the company. “The discount is valid for an additional cargo volume exceeding 815,000 tonnes for the period from 1 September until the end of the year. This decision was made to attract additional volumes of cargo to the railway.”
Next year, the carrier will provide a 10.2% discount on the transport of loaded 40-foot containers from the Elektrougli station near Moscow to Yekaterinburg. The discount is applied subject to the transportation of at least 4,000 such containers, RZD adds.
One beneficiary of this could be NLMK, which continues to export slab from Russia, because so far it is not included in the EU’s steel sanctions list.
Earlier, NLMK reached an agreement with NLMK Belgium Holdings (NBH), the joint venture with Walloon region-owned investment fund Sogepa, to integrate NLMK DanSteel into NBH (see Kallanish passim).
The consolidation of these assets of the Russian steelmaker will further optimise the European assets’ management structure and provide additional strategic flexibility and synergies, NLMK said.
Russian steel rolling capacity utilisation will continue to decrease to year-end, Russian Steel Association said earlier. Among the reasons for lower utilisation is a decrease in domestic consumption of steel; in the second quarter of 2022, Russian demand already decreased by 16% compared to the previous quarter. In the second half of the year, steel consumption is expected to drop 22% versus H1.
Source:Kallanish
