Potential Demand for Ferrous Metals in Russia under Conditions of Unfavorable Steel Consumption Environment

Russia’s ferrous metallurgy has faced a number of challenges in recent years. While this primarily affected the industry’s environmental impact and the threat of carbon regulation during its globalization, since 2022 the main factor has been restrictions imposed on the Russian economy in the form of sanctions. The decline in consumption and exports of ferrous metals and metal products due to sanctions has been exacerbated by domestic factors, leading to an even greater crisis of excess production capacity in the steel industry. The solution to this situation appears to lie in expanding the range of metallurgical products. This requires identifying potential development areas for metal-consuming industries and assessing potential demand for steel and its individual grades in the current unfavorable steel consumption environment for domestic ferrous metal producers.