Ukraine steel production hits zero for first time in a century

Ukraine has experienced a historic collapse in steel production, recording zero tons produced during a week in September for the first time in a century. Oleksandr Vodovis, representing the industrial conglomerate Metinvest, reported that major plants including Metinvest, ArcelorMittal, the Petrovsky Plant, and Interpipe have been completely destroyed by Russian strikes.

A total of seven blast furnaces have been destroyed, including five belonging to Metinvest and two to ArcelorMittal. The scale of the damage is immense; Vodovis noted that while the government has offered financial assistance ranging from 2 to 5 million hryvnias, the cost to rebuild a single furnace is approximately $500 million, with an additional $50 million required to restart operations.

The destruction of the metallurgical sector represents a significant blow to the Ukrainian economy. In 2021, metal exports were the country’s largest export category, generating nearly $16 billion. By 2025, these revenues had fallen to approximately $4.7 billion, and the sector's share of total exports is projected to decline further due to the ongoing targeting of strategic industrial infrastructure.