MMK high value-added goods go up 24%

20 July 2010 (10:29)

Magnitogorsk Iron & Steel Works (MMK) came up with a production performance report for the second quarter of 2010.

The company manufactured 2,985,000 tons of steel and 2,623,000 tons of goods over the given period, which was, respectively, 9% and 7% better than in the first quarter of 2010.

The enterprise’s hot-rolled production dropped by 112,000 tons, or 7% in the second quarter compared with the first quarter of the year; on the other hand, the output of goods with high added value increased by 174,000 tons, of 24%, with the share of such goods in the company’s total goods output rose to 35%.

In addition, MMK keeps building up on its Mill 5000-manufactured heavy plate output: the enterprise produced 228,000 tons of heavy plates in the second quarter of 2010, which was 29% better than in the previous quarter.

The works also made 22% more of deep-level processing goods, mainly in the form of zinc-coated rolled products, sheets with polymeric coating, and cold-rolled strips.

‘Even though our home sales have remained virtually the same in the second quarter of 2010, in absolute terms our shipments to the preferred domestic market with its price premium increased faster than our export ones. For one, we delivered 148,000 tons more of goods on the home market in the second quarter of the year against the previous quarter, whereas our export shipments only increased by 21,000 tons. These figures were, respectively, 9.5% and 2.3% better than in the first quarter of 2010,’ MMK reports.

Both the company’s home and foreign market prices kept rising in the second quarter of 2010. On average, 1,000 kg of metal goods grew 17% more expensive.

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