RE: Gms16 Nov 2022 10:27
. Evraz obviously does not like this prospect, but the holding's management does not want to talk about it openly, because the situation around prices has become tense.
Experts believe that metallurgists are trying to use prices to compensate for income that fell during the crisis due to a decrease in metal consumption in the world. In 2009, in order to load capacities, Russian companies sold rolled products at dumping prices, but this did not save them from production stoppages and staff reductions at enterprises. In order to revive the market, in early 2010, metallurgists proposed to the Russian authorities to provide the industry with tax breaks and stimulate the sale of products by obliging industrialists to purchase metal from domestic suppliers.
Meanwhile, in recent years, the Russian government has regularly increased import customs duties on certain types of rolled products and pipes made of ferrous metals, protected the domestic market of raw materials, expanded the list of imported equipment that is not subject to VAT, initiated anti-dumping investigations against suppliers of stainless flat products from Brazil, China, Korea and South Africa, as well as manufacturers of pre-painted steel from Belgium, Kazakhstan, China, Korea and Finland. Minister of Industry of the Russian Federation Viktor Khristenko noted in 2009 that ferrous metallurgy, in terms of lobbying for measures to protect its interests, left all other sectors of Russia far behind.
The proposals of metallurgists, according to experts, did not take into account the interests of other market participants, and therefore were not implemented in full. But massive state assistance in protecting the Russian market from foreign products allowed lobbyists to increase their income by spinning up the price flywheel.
Investment company Troika Dialog made a forecast in early 2010 that coal prices would rise over the next three years, while discount rates would decline. The accident at the Raspadskaya mine (40% of the shares belong to Evraz Group), no matter how blasphemous it sounds, came at the right time, stopping the emerging growth in coking coal production. The governor of the Kemerovo region Aman Tuleev said that now metallurgy will experience some shortage of fuel.
The coincidence in time of the explosion and the speculative game of the leading mining corporations to increase the cost of coal excited the miners of Kuzbass. Some of them recalled that a few years ago there were two explosions at the mines "Ulyanovskaya" and "Yubileinaya", owned by OJSC "Yuzhkuzbassugol". Coincidentally, at the same time, Evraz asked the owner
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