UrBC, Yekaterinburg, May 28, 2019. Magnitogorsk Iron & Steel Works (MMK) now co-finances the projects of small and medium enterprises that are currently residents at MMK Industrial Park.

According to MMK’s Information & PR Department, the co-funding gets provided on a competitive basis and must be used to set up a new production site or to expand an existing one. MMK supplies up to 30% of the necessary total amount (but no more than RUB 15 million).

Teplopribor Express Analiz was the first company to use this financing mechanism to expand and localize production; the company is an MMK Industrial Park resident and started making disposable temperature/chemical composition sensors for melted steel on the site in March 2017. The sensors get bought by all the large Russian metallurgical enterprises.

‘The co-financing options are an important incentive and a gesture of good faith for the businesses setting up or expanding their production within MMK Industrial Park. The park’s residents are already using the support mechanisms provided by Chelyabinsk Region Government and pay a preferential-terms rent, that is, only RUB 66 per m2 a month, twice as little as what the average monthly rent in Magnitogorsk currently is,’ says MMK’s Director-General Pavel Shilyayev.