Printer Friendly

Iran Sanctions to Hit Russian Steelmakers Profit.

Iran, which previously accounted for as much as 18 percent of Russia's steel export volumes, has cut purchases of Russian and Kazakh semi-finished and finished products to about 40,000 metric tons a month, down more than 90 percent compared with 500,000 tons previously in a good month, the bank said, citing Steel Business Briefing.

Magnitogorsk Iron & Steel and Evraz Plc (EVR) stand to lose the most, Sergey Donskoy, an analyst at Societe Generale, said in a note. "If the situation gets worse, it will hit more or less everyone to a different degree."

Evraz doesn't sell steel directly to Iran, said Tatyana Drachuk, a spokeswoman for the steelmaker part-owned by Roman Abramovich. The press office of Magnitogorsk, known as MMK, didn't comment when called by Bloomberg.

Iran has accounted for as much as 40 percent of MMK's total exports, and a halt to imports may force MMK to seek alternative markets or cut production, Donskoy said. Other steelmakers may be affected as the situation puts pressure on domestic prices for long-products which are used in construction, Donskoy said.

Copyright 2003-2012 Mojnews Agency. All rights reserved

Provided by Syndigate.info an Albawaba.com company
COPYRIGHT 2012 Al Bawaba (Middle East) Ltd.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2012 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:Moj News Agency (Tehran, Iran)
Geographic Code:7IRAN
Date:Jan 31, 2012
Words:195
Previous Article:Iran Attends Nuclear Power Asia 2012.
Next Article:Iran Sanctions will Hurt Sri Lanka -- President.
Topics:

Terms of use | Privacy policy | Copyright © 2021 Farlex, Inc. | Feedback | For webmasters