ArcelorMittal Kryvyi Rih, one of the largest metallurgical enterprises in Ukraine and an important foreign investor, expresses deep concern over the new tariff plan of the railway company Ukrzaliznytsia, which significantly complicates logistics and increases the company’s costs. Starting from April 5, 2025, according to the new version of the train formation plan, the tariff distance for product delivery has been increased by 257 km, which substantially reduces the economic efficiency of the company’s operations.
This is reported by Бізнес • Медіа
The company’s press service notes that this decision is artificial, selective, and unfounded, as it exclusively affects ArcelorMittal Kryvyi Rih, which ships over 100,000 tons of products to Odesa every month. The company has been operating under difficult wartime conditions for the third year, facing constant shelling, energy shortages, and complicated export logistics. The reopening of ports in 2023 has partially improved the situation, but the enterprise still remains unprofitable.
Protection of Interests and Company’s Action Plan
ArcelorMittal Kryvyi Rih considers any manifestations of abuse of monopoly position unacceptable and is ready to appeal to the Antimonopoly Committee of Ukraine to protect its interests. “We hope for an objective review of Ukrzaliznytsia’s decision. Resolving this situation will help avoid unreasonable costs and enhance the competitiveness of our products in the country’s mining and metallurgical complex,” stated Alexander Bilyansky, Deputy General Director for Supply.
The enterprise continues to work on restoring production and development. In April, blast furnace No. 6 was launched, which had been stopped in the autumn months of 2024 due to the market crisis and high electricity tariffs. The unit is now reaching its planned capacity of 3,400 tons of pig iron per day. Additionally, starting from May 1, 2025, the company will increase salaries for its employees by an average of 15%. Based on the results of 2024, the enterprise increased production in all areas: pig iron output rose by 42.7% to 2.17 million tons, while steel production increased by 69.9% to 1.65 million tons. The output of rolled metal reached 1.53 million tons, which is 72.1% more compared to the previous year.
ArcelorMittal Kryvyi Rih is one of the key enterprises in Ukraine’s metallurgical industry with a full production cycle. The company’s facilities allow for the annual production of over 6 million tons of steel, 5 million tons of rolled products, and 5.5 million tons of pig iron. The company provides over 20,000 jobs and plays an important role in the country’s economy.