Home News Expert: Russia and Britain will not feel the effect of banning Russian...

Expert: Russia and Britain will not feel the effect of banning Russian steel exports

48
0

The embargo on Russian steel supplies, which will be introduced by the United Kingdom on April 14, 2022, will have minimal impact on both the Russian and British markets due to low supply volumes. This opinion was expressed to TASS by the head of the rating service of the National Rating Agency (ANR) Serghei Grişunin.

On April 13, British Foreign Minister Liz Truss announced a ban on imports of Russian steel and iron as sanctions because of the situation in Ukraine. The ban will take effect on April 14.

However, for both the United Kingdom and Russia, steel supplies are not a significant factor in the trade balance. At the end of 2021, according to the Federal Customs Service, Russia supplied the United Kingdom with $ 51.6 million in flat iron and steel products, and all ferrous metal products were worth $ 117 million (including $ 11 million). account of the fact that the prices of metal products have been high throughout the year). second half of the year).

Read:   The price of gas in Europe is reaching a new record level. Which was the main cause of the significant advance

Grişunin’s data is comparable to customs statistics: he estimates that Russian steelmakers’ revenues on the British market at the end of last year were 151 million dollars, or about 120-150 thousand tons. Of the total volume of Russian exports, it is about 0.5%. “Russian steelmakers will not notice the closure of such a market,” he said.

There will also be a small loss for the British market, where the share of Russian steel has been estimated at 3%. “Deliveries will be replaced by European rolled products, but the price may increase as production costs in Europe are high amid the gas and coal crisis,” he said. Russia will also be able to redirect “British” volumes to the Middle East market, taking into account the temporary withdrawal from the market of Ukrainians, who have traditionally acted as competing suppliers of rolled steel in these markets. In addition, Russian exporters will certainly be able to offer a small discount, Grişunin believes.

Read:   Russia is raising its reserve fund for emergency spending on oil and gas profits

If you like this article, we look forward to joining the community of readers on our Facebook page, with a Like below:

Previous articleUN Secretary-General: 36 countries import more than half of their wheat needs from Russia and Ukraine
Next articleThe new BMW X7 is a combination of exclusivity, exceptional dynamics, lush space and versatility