Ukrainian seamless stainless steel pipe manufacturer Centravis will place its production in Uzhgorod into mothballing mode, according to local media, citing a sharp decline in expected exports to the EU following the introduction of the bloc's new steel import quota regime.
The suspension takes effect from September 1, 2026, with employees remaining on payroll during the mothballing period. The facility will be maintained in a condition to allow production to resume once market conditions improve.
EU quota changes are expected to halve European sales
The decision was driven by new EU steel import protection measures, which came into force on 1 July 2026 and significantly reduced duty-free import quotas while increasing the extra-quota duty to 50 percent.
According to the company, the revised quota system is expected to reduce sales to the European market by about 50 percent, making it impossible to fully utilize the capacity of both the Nikopol and Uzhgorod production facilities.
The Uzhgorod plant was put into operation in 2023 after the company moved part of its operations from the front-line town of Nikopol, where production repeatedly thwarted by Russian military attacks. Currently, about 130 people work at the facility.
The company is consolidating production in Nikopol
After mothballing the facility in Uzhgorod, Centravis plans
