Ferro-alloys market in Russia

Earlier Report Observations

The Russian ferro-alloys market began the period with a high production volume of over 2.3 million tons in 2018, supported by a technical modernization program at the country's largest producer, the Ural-Siberian Metallurgical Company. Market volume then contracted to 1.5 million tons in 2019, influenced by global factors such as volatility in electricity and raw material prices. The COVID-19 pandemic introduced market uncertainty in 2020, yet the domestic market volume remained stable at around 1.5 million tons.

Sanctions and export restrictions in 2021 prompted producers to seek new foreign markets, leading to increased exports and a subsequent reduction in domestic market volume to 1.4 million tons. A surge in demand from the construction and engineering sectors drove a recovery in 2022, lifting the market volume to 1.7 million tons. This growth was shortly reversed as reduced orders from the metallurgical industry and continued export limits to Europe caused the market to shrink to 1.6 million tons in 2023.

The downward trend intensified in 2024, with market volume falling to 1.3 million tons. This was primarily due to persistent export restrictions to European markets and a decline in domestic consumption linked to a drop in domestic steel production. By 2025, ferro-alloys output had decreased further to 1.4 million tons, continuing the market's contraction.

Production ferro-alloys in Russia

In kind, 2018-2021, K t

After a two-year decline, Russia's ferro-alloys production increased in 2021. The volume reached 2 036 K t, showing little change compared to 2020. Over the period from 2018 to 2021, production decreased by 11.9%, with a compound annual growth rate of 4.2%. The lowest production level was recorded in 2020 at 2 026 K t, while the largest decline occurred in 2019 with a drop of 10.5%.

Annual dynamics of production in Russia in kind, 2018-2021, K t

Exports ferro-alloys from Russia

Exports in kind, K t

In 2021, Russia's ferro-alloys exports amounted to 896.4 K t, marking a significant increase of 22.9% from 2020. Between 2018 and 2021, exports grew by 10.5%, translating to an annualized rate of 3.4%. The lowest export volume was recorded in 2020 at 729.5 K t, with the largest decline also occurring in that year at 10.7%.

Annual dynamics of product's exports from Russia in kind, 2018-2021, K t

From 2018 to 2021, the Netherlands, Japan, and South Korea were the top destinations for Russia's ferro-alloys exports in kind. The Netherlands accounted for 28.1% of exports, Japan for 19.3%, and South Korea for 9.9%. Together, these three countries represented 57.3% of total export flows.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Russia in kind, 2018-2021

Exports in value, M $ US

Following a two-year decrease, Russia's ferro-alloys exports in value terms rose in 2021. Exports reached 1 478 M $ US, up by 67.1% compared to the previous year. Over the 2018-2021 period, exports increased by 8.4%, with a compound annual growth rate of 2.7%. The lowest value was recorded in 2020 at 884 M $ US, and the largest decline also occurred in that year at 28.0%.

Annual dynamics of product's exports from Russia in value, 2018-2021, M $ US

Between 2018 and 2021, the Netherlands, Japan, and South Korea formed the main cluster of markets for Russia's ferro-alloys exports in value terms. The Netherlands held a 31.7% share, Japan 17.5%, and South Korea 9.6%. Collectively, these three countries accounted for 58.8% of total export flows.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Russia in value, 2018-2021

Imports ferro-alloys to Russia

Imports in kind, K t

Russia's ferro-alloys imports declined for the second consecutive year in 2021. The import volume totaled 262.6 K t, showing a slight drop of 2.2% year-over-year. From 2018 to 2021, imports decreased by 8.2%, with a compound annual growth rate of 2.8%. The highest import volume was recorded in 2019 at 291.9 K t, while the largest decline occurred in 2020 at 8.1%. The largest increase was in 2019 at 2.0%.

Annual dynamics of product's imports to Russia in kind, 2018-2021, K t

From 2018 to 2021, Georgia, Kazakhstan, and Ukraine were the principal sources for Russia's ferro-alloys imports in kind. Georgia accounted for 37.7% of imports, Kazakhstan for 34.1%, and Ukraine for 9.2%. Together, these three countries made up 81.0% of total import flows.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Russia in kind, 2018-2021

Imports in value, M $ US

After a two-year loss, Russia's ferro-alloys imports in value terms increased in 2021. Imports reached approximately 495 M $ US, up by 42.1% compared to the previous year. Between 2018 and 2021, imports grew by 3%, equating to an annualized rate of 1.0%. The lowest value was recorded in 2020 at 348 M $ US, and the largest decline also occurred in that year at 19.5%.

Annual dynamics of product's imports to Russia in value, 2018-2021, M $ US

Throughout 2018 to 2021, Georgia, Kazakhstan, and Brazil formed the core of Russia's ferro-alloys imports in value terms. Georgia accounted for 28.8% of imports, Kazakhstan for 26.0%, and Brazil for 20.5%. Collectively, these three countries represented 75.3% of total import flows.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Russia in value, 2018-2021