Speaking at the round table “The Impact of CBAM on the Economy and Metallurgical Sector of Ukraine 2026-2030”, organized by the MMC Center, Mauro Longobardo, CEO of ArcelorMittal Krivoy Rog, the Ukrainian branch of ArcelorMittal with headquarters in Luxembourg, said that the company lost about 300,000 tons of steel exports to January-March this year. The decline is due to the implementation of the Carbon Border Management Mechanism (CBAM), which has resulted in additional costs (CBAM costs $60-$90 per tonne) and administrative burden for exporters supplying steel to the EU. The company initially planned to ship 1.2-1.25 million tonnes of steel to Europe in 2026, representing almost half of its total production.
The decline in exports reflects broader market pressures
Reports of lost export volumes highlight growing pressure on Ukrainian steelmakers as they face both regulatory changes and ongoing market pressures problems.
The company's access to the EU market has worsened, despite previous expansion. After the outbreak of the war, ArcelorMittal Krivoy Rog shifted its focus to the EU market, gradually increasing its presence over three years.
In 2025, the company exported about 920,000 tons of long products to the EU. However, the continuation of these supplies became uncertain as long steel was identified as the segment most affected by CBAM.
Production cuts and job losses are accelerating
As a direct consequence of the new regulatory environment, ArcelorMittal Krivoy Rog has taken significant operational measures. During the first quarter of 2026:
- At least 3,400 jobs were cut.
- Several manufacturing units ceased operations, including a blooming plant, as previously reported SteelOrbis .
The company reported of operating losses for five consecutive years and continues to rely on the support of the parent group.
Industry warns of long-term market loss
The company estimates that Ukrainian producers could lose access to the EU market within five years if CBAM is applied without adjustments. The inability to redirect volumes to alternative markets increases the risk of further production cuts and economic downturn, especially in industrial regions such as Krivoy Rog.
Noting that the Ukrainian government must protect the real economy
